Following the CEO's proposal to invest $100 million in a healthcare venture, PB Fintech gains 4%.

SUMMARY PB Fintech is anticipated to obtain board permission before making a one-time investment of $100 million to acquire a 30% share in a startup healthcare company. With a price target of INR 1,750 per share, brokerage company Bernstein has maintained its "outperform" rating on PB Fintech. In Q1 FY25, PB Fintech reported a consolidated net profit of INR 59.98 Cr, up from a loss of INR 11.9 Cr in the same quarter the previous year.In intraday trading today (September 30), shares of PB Fintech, the parent company of PolicyBazaarPolicyBazaar Datalabs_in-article-icon and Paisabazaar, increased by more than 4% to INR 1,715.40 apiece on the BSE following confirmation by chairman and group CEO Yashish Dahiya that the company is contemplating a move into the healthcare industry.After receiving board permission, PB Fintech is probably going to invest $100 million one time to purchase a 30% interest in a startup healthcare company, Dahiya said CNBC-TV18.A middle-class individual cannot afford to pay INR 78,000 per night for a bed, according to Dahiya, who also explained the company's decision to enter the healthcare industry. She added that PB Fintech's goal is to close the gap between hospitals and insurance providers.

Last week, rumors of PB Fintech's intentions to enter the healthcare industry started to circulate. According to a September 27 exchange filing, Dahiya indicated on the most recent analyst call that the business was considering plans to join the healthcare industry.Investors have received enormous profits from PB Fintech since its 2021 public debut. The stock has increased by 42% from its listing price of INR 1,150 per share and by more than 67% from its INR 950 issue price. So far this year, it has increased by more than 107%.With a price objective of INR 1,750 per share, brokerage company Bernstein kept its "outperform" rating on PB Fintech last week. This suggests that the stock may rise by approximately 7% from its previous closing.The brokerage observed that the stock's fast growth, solid business plan, and cash generation had made investors optimistic about it. There's good cause to be optimistic. For the months of April through June, PB Fintech reported its third consecutive profitable quarter. In contrast to a loss of INR 11.9 Cr in the same period last year, the company reported a consolidated net profit of INR 59.98 Cr in the first quarter of the financial year 2024–25 (FY25).