HDB Financial Services, part of the HDFC Group, experienced a substantial 12% surge in its share price, reaching ₹724 on the Bombay Stock Exchange (BSE) amid robust trading volumes. This increase follows the company's announcement of strong fourth quarter (Q4FY26) results, where it reported a net profit of ₹751 crore, marking a 41.4% year-on-year growth. The rise in profit was attributed to higher income and steady loan growth, with net interest income climbing 21.6% to ₹2,399 crore. The company's assets under management increased by 10.7% to ₹1.19 trillion, while the gross loan book rose by 10.9% to ₹1.18 trillion. Despite a slight increase in gross stage 3 loans to 2.44%, HDB Financial Services aims to maintain a net interest margin (NIM) above 8%. Additionally, the Board has recommended a final dividend of ₹2 per share for the fiscal year ending March 31, 2026, pending shareholder approval. Analysts at Motilal Oswal Financial Services have set a target price of ₹720 for the stock, citing the need for clearer evidence of sustained loan growth and improved return ratios.