360 One Wam shares climb nearly 5% after Citi raises target price

Shares of 360 One Wam in early trade rallied as much as 4.82 per cent as global brokerage Citi reiterated its ‘buy’ call on the financial services company with a raised target price of Rs 750. Earlier, the brokerage had placed the target of Rs 615 on the counter. The new target signifies a potential rally of over 18 per cent from the last closing price of Rs 634.4.

Citi held that the small-cap investing banking and brokerage firm is well placed to roll out the mid-market strategy by April 24 post robust pilots. The company is leveraging existing product/service capabilities, which, coupled with the network effect, will support client acquisition at the firm.

The company is sweetly positioned in the niche ultra-high net worth individual (UHNI) space, marked Citi.

In Q2, PAT, or profit after tax, of the firm increased 7 per cent on year to Rs 190 crore, largely in line with estimates. Total assets under management (AUM) also climbed 24 per cent on year as the company continued to focus on scaling up annually recurring revenue (ARR) assets. 

Shares of 360 One Wam, have shown phenomenal recovery in the past six months, generating returns to the tune of 44 per cent, while over a one-year period, the returns are in the negative.

Formerly IIFL Wealth Management Limited, 360 One Wam, is an India-based company that is primarily engaged in wealth and asset management services, including financial asset distribution, broking, lending, credit and investment solutions, and asset and portfolio management. The wealth management segment of the company entails the distribution of financial products, advisory, equity and debt broking, estate planning and managing financials.