Business
Jefferies initiates coverage on Poonawalla Fincorp with Buy rating. Why are analysts bullish?
Jefferies says the company is well positioned to accelerate growth under its revamped leadership team, expanding product portfolio, wider distribution network and sharper underwriting practices.
The brokerage expects the company to deliver a 33% AUM CAGR, the fastest among major NBFCs, supported by an improving loan mix, better net interest margins and lower credit costs driven by reduced slippages and a healthier portfolio mix. Analysts also forecast a sharp improvement in profitability, with RoA/RoE expected to expand to 16% by FY29 from 6% in FY26, which it believes should support the stock’s premium valuation multiples.
The brokerage cited the company’s ongoing strategic transformation under CEO Arvind Kapil, former head of retail and mortgage banking at HDFC Bank as a positive. The brokerage highlighted the leadership overhaul, with seven of nine CXOs coming from HDFC Bank, alongside the launch of six new products including prime personal loans, commercial vehicle loans, gold loans and education loans.
These new segments have already scaled to 14% of AUM within a year and are expected to contribute 34% of AUM over time. Jefferies expects the company to deliver a 33% AUM CAGR during FY26-29, supported by investments in distribution, collections, technology and AI, as well as its AAA credit rating and backing from the Adar Poonawalla Group.
The brokerage expects margins to improve as the company shifts toward higher-yielding products. After contracting by 250 basis points over the past two years due to the run-down of its legacy personal loan portfolio, NIMs are projected to expand by around 70 basis points over FY26-29, aided by growth in products such as prime personal loans and gold loans. At the same time, Jefferies expects cost-to-AUM to improve to 3.9% by FY29 from 4.4% in FY26 on the back of operating leverage.
Asset quality trends have also strengthened, with gross NPAs declining to 1.4% from 1.8% in FY25, supported by tighter underwriting and the reduction of the stressed legacy personal loan book. Jefferies noted that delinquency levels in loans originated after September 2024 are running about 50% lower than the previous 12-month cohort. It expects credit costs to moderate to 2.2% over FY26-29 from 2.7% in FY26, driven by better portfolio quality and a growing share of lower-risk products such as gold and education loans.Following a Rs 2,500 crore capital raise in April 2026, the company’s Tier-1 capital ratio has risen above 19.5%, providing ample room to fund growth. Jefferies forecasts profit after tax to surge to Rs 2,900 crore by FY29 from Rs 540 crore in FY26, while return on assets and return on equity are expected to improve to 2.3% and 16%, respectively, from 1.1% and 6% in FY26. Despite trading at 2.4x FY27 estimated book value and 25x FY27 estimated earnings, the brokerage believes Poonawalla Fincorp’s strong growth trajectory and improving profitability justify premium valuations and could support further re-rating if execution remains robust. Key risks include weaker-than-expected execution, margin pressure and higher credit stress.
In Thursday’s session, shares of the company are down 1.5% to Rs 394 on the BSE. Poonawala Fincorp shares are down 18% in 2026.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Business
Rocket Lab Is A Winner And The Market Knows It
Rocket Lab Is A Winner And The Market Knows It
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Nestle to fully acquire yfood Labs GmbH

Nestle and yfood have collaborated since 2023.
Business
Aviation journalist Geoffrey Thomas dies aged 74
Veteran aviation journalist and writer for Business News Geoffrey Thomas has passed away in Perth at the age of 74.
Business
Witness History – The protests that sparked the Tiananmen Square massacre
Available for over a year
One month before the bloodshed in Beijing, a 10km line of protestors snaked through the city.
For over a decade China had been opening up to global trade and there was promise that, with greater economic freedoms, democratic rights might be within reach too.
In an emotional testimony, student organiser Wu’er Kaixi explains why he thought protest and demonstrations were encouraging leaders towards a more progressive China.
On 4 May 1989, with huge numbers in the streets it was a moment when many dared to believe the fight for democracy could be won. But, as Wu’er Kaixi tells Tom Bonnett, it was a brief high point. A month later, tanks and soldiers descended on the streets and sent a bloody message – protest would not be tolerated.
Eye-witness accounts brought to life by archive. Witness History is for those fascinated by and curious about the past. We take you to the events that have shaped our world through the eyes of the people who were there.
For nine minutes every day, we take you back in time and all over the world, to examine wars, coups, scientific discoveries, cultural moments and much more.
Recent episodes explore everything from how the Excel spreadsheet was developed, the creation of cartoon rabbit Miffy and how the sound barrier was broken.
We look at the lives of some of the most famous leaders, artists, scientists and personalities in history, including: the moment Reagan and Gorbachev met in Geneva, Haitian singer Emerante de Pradines’ life and Omar Sharif’s legendary movie entrance in Lawrence of Arabia.
You can learn all about fascinating and surprising stories, like the invention of a stent which has saved lives around the world; the birth of the G7; and the meeting of Maldives’ ministers underwater. We cover everything from World War Two and Cold War stories to Black History Month and our journeys into space.
(Photo: Student protests in Beijing in May 1989. Credit: Getty Images)
Business
Retired Detective Predicts Car Tracking and Google Searches Key to Solving the Case
TUCSON, Ariz. — A retired detective has identified digital tracking of vehicles and Google search records as potential breakthroughs in the ongoing investigation into the disappearance of 84-year-old Nancy Guthrie, who vanished from her Tucson-area home more than four months ago.
Jon Buehler, a former Modesto Police Department detective now working as a law enforcement consultant, shared his insights in recent interviews, suggesting that modern forensic tools could unlock the case that has gripped national attention since February 1. Guthrie, the mother of NBC “Today” co-host Savannah Guthrie, was last seen at her Catalina Foothills residence under circumstances authorities have described as suspicious.
Buehler pointed to the possibility that records of vehicles in the vicinity of Guthrie’s home, obtained through surveillance cameras or GPS data, could identify a suspect. He also recommended a reverse keyword search on mapping services to determine if anyone searched for her specific address in the days or weeks leading up to the disappearance. “If somebody ever plugged her address into a Google search for a Google Maps or whatever, if they did a reverse keyword search on that because those records are maintained for a period of time, to see any random person that would have typed in her address that had a reason to do it and then you’d contact that person and find out why did you put that address,” Buehler explained.
Such digital footprints, he noted, could help investigators either eliminate or focus on potential persons of interest. Buehler expressed cautious optimism that a critical tip might already exist among the hundreds received but could have been overlooked during initial prioritization. “When tips come in on a case like Nancy Guthrie’s, they’re prioritized as best they can, but you still don’t know for sure if they’re prioritized correctly, and so there might be something in there that we’re waiting on, that could break it wide open,” he said.
The Pima County Sheriff’s Office continues to lead the investigation with FBI assistance. Sheriff Chris Nanos has cited the complexity of forensic analysis, particularly DNA and digital evidence, as reasons for the extended timeline. “This is a very sensitive case, but what really makes it prolonged is we do rely on labs,” Nanos told local media.
Hair samples from Guthrie’s home were initially sent to a private genetics lab in Florida before being forwarded to the FBI’s Quantico facility for advanced testing. Challenges with mixed DNA samples and ongoing digital forensic work have extended the process. Officials stress that adherence to scientific and judicial protocols is essential to avoid wrongful arrests and ensure evidence holds up in court.
Savannah Guthrie has reportedly invested significant resources in a private team of investigators to supplement official efforts. The family has maintained a low public profile while cooperating fully with authorities. A combined reward exceeding $1.2 million for information leading to a resolution remains unclaimed.
The absence of a ransom demand and the presence of blood evidence at the scene have led Buehler and others to express pessimism about Guthrie’s survival. “The reason I’m fearful she didn’t survive the abduction is kind of twofold. No. 1, no instantaneous demand for a reward with indication that she’s fine and that they’ll release her. That’s a pretty big stretch there to think that she survived it,” he added.
Despite the challenges, authorities have not ruled out any possibilities and continue treating the case as an active abduction investigation. Federal sources have indicated discussions about deploying additional technological tools, potentially focused on video forensics, signals analysis or enhanced investigative genetic genealogy. These methods have solved numerous cold cases in recent years but often require months of careful processing.
The disappearance has unsettled the Tucson community, particularly in the affluent Catalina Foothills area. Residents have expressed concern about safety in neighborhoods previously considered secure. The case has also highlighted challenges in solving missing persons investigations without immediate witnesses or clear physical evidence.
Pima County authorities have conducted extensive searches of surrounding desert areas and reviewed hours of surveillance footage from nearby properties. Canvassing efforts and interviews continue, though no suspects have been publicly named. The investigation remains active and ongoing, with officials urging anyone with information to contact the FBI or local tip lines.
The case has drawn national attention due to Savannah Guthrie’s prominence as a television journalist. Her occasional on-air references to her mother’s situation have been emotional but restrained, with requests for privacy as the family navigates the ordeal.
For investigators, the challenge lies in balancing thoroughness with public expectations for progress. High-profile cases often generate thousands of tips, requiring significant resources to evaluate. Buehler’s comments reflect a common expert view that digital evidence, often overlooked in traditional investigations, frequently provides the decisive link.
As the investigation enters its fifth month, pressure for resolution continues to build. The substantial reward and widespread media coverage have kept the case in the public eye, potentially increasing the chances of new information emerging. Authorities have not ruled out the possibility that Guthrie encountered someone known to her or that the incident involved a random element.
Community vigils and awareness efforts have helped maintain focus on finding Nancy Guthrie. Local organizations have offered support to the family while encouraging residents to report any suspicious activity from the time period.
The Pima County Sheriff’s Office continues coordinating with federal partners. Joint task forces have pooled resources to examine every available lead. The involvement of the FBI typically indicates the case’s complexity and potential for broader implications.
Nancy Guthrie’s disappearance serves as a reminder that vulnerabilities exist even in seemingly safe communities. For her family and investigators, the search for answers continues amid ongoing forensic work and digital analysis.
The coming weeks may bring further updates as laboratory results mature and additional technological tools are applied. Until then, authorities and the Guthrie family maintain hope that the right piece of information will surface to resolve this troubling case.
The National Election Commission’s recent ballot shortage issues during local elections have drawn unrelated comparisons in public discourse about institutional efficiency, though the Guthrie case centers on criminal investigation rather than administrative processes.
As details continue to emerge, the focus remains on supporting the family and ensuring a thorough understanding of events. The Ministry of Defence has pledged transparency where possible while protecting sensitive operational details in similar high-profile cases.
The helicopter crash in a separate Royal Navy incident highlighted the broader tradition of public figures acknowledging tragedies involving service members and civilians alike. In Guthrie’s case, the national conversation around missing persons remains heightened.
Pima County Sheriff’s Office officials continue coordinating with federal partners. Joint task forces have pooled resources to examine every available lead. The involvement of the FBI typically indicates the case’s complexity and potential for broader implications.
Nancy Guthrie’s disappearance serves as a reminder that vulnerabilities exist even in seemingly safe communities. For her family and investigators, the search for answers continues amid ongoing forensic work and digital analysis.
The coming weeks may bring further updates as laboratory results mature and additional technological tools are applied. Until then, authorities and the Guthrie family maintain hope that the right piece of information will surface to resolve this troubling case.
Business
UBS downgrades BHEL shares to Neutral from Buy. Check target, key reasons
UBS believes a significant portion of the company’s order book expansion is already behind it and noted that competition has intensified over the last three years, with rivals such as L&T and Thermax displaying a stronger appetite for new orders. The brokerage said the stock’s risk-reward profile has become more balanced after BHEL outperformed the Nifty by nearly 60% over the past 12 months.
Despite the downgrade, UBS remains constructive on BHEL’s long-term outlook. It expects a steady flow of orders from the thermal power and industrial segments and believes the company’s multi-year revenue visibility does not warrant a “Sell” rating.
The brokerage continues to hold earnings estimates above the Street’s expectations and has raised its FY27 and FY28 earnings forecasts by 1-3%. It has also increased its valuation multiple to 28x from 25x, factoring in a meaningful ramp-up in execution and an improvement in gross margins. UBS further noted that the order book accumulated during FY23-FY26, when BHEL captured an estimated 75-80% market share, provides strong revenue visibility through FY30.
Last month, the PSU company reported a whopping 156% surge in its consolidated net profit to Rs 1,290.50 crore for the January-March quarter of the financial year 2026. Sequentially, net profit saw a sharper rise of nearly 231% from the Rs 390.40 crore reported in the third quarter of the financial year 2026.
BHEL’s revenue from operations meanwhile grew 37% YoY to Rs 12,310 crore in Q4 FY26, from Rs 8,993 crore in Q4 FY25. The company’s EBITDA more than doubled to Rs 2,005 crore during the quarter under review, from Rs 990 crore in the year-ago period.
For the entire financial year 2026, BHEL saw its net profit surge 200% to Rs 1,600.26 crore, from Rs 533.90 crore in FY25. Revenue, meanwhile, grew 19% YoY to Rs 33,782 crore for the financial year, which ended on March 31, 2026.BHEL shares have risen 38% since the beginning of 2026 and about 50% in the last 1 year.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)
Business
Trump’s ‘big beautiful bill’ has ‘double taxation’ trap, lawyers say
Late evening view of US Capitol building in Washington DC, USA
Richard Sharrocks | Moment | Getty Images
A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.
The “one big beautiful bill” came with many tax benefits for top earners, despite limiting how much they can deduct. However, lawyers for the wealthy said they have discovered a surprise buried in the footnotes of a tax law guide released last week by Congress’ policy staff that could amount to double taxation.
The deduction cap is imposed on trusts and estates, the lawyers said, which was unexpected. Even if a trust gave all its income to its beneficiaries, it would have to pay taxes on a portion of that income, according to the lawyers’ interpretation of the document.
While the consequences are steeper for trusts and estates of the ultra-wealthy, trusts with as little as $16,000 in income would also be subject to additional taxes, the lawyers said.
“There is potentially an element of double taxation,” said Dan Griffith, director of wealth strategy at Huntington Bank. “This is something that is going to affect somebody with a $400,000 special-needs trust. It’s not just going to be something that $100 million dynasty trusts suffer with.”
Griffith said he is especially concerned about trusts that are obligated to distribute all their income. Trusts will either have to sell assets to pay the taxes, sacrificing future investment returns, or reduce their distributions to beneficiaries, he said.
This provision creates a “mathematical nightmare” for tax lawyers and financial advisors, according to Justin Miller, national director of wealth planning at Evercore Wealth Management. Miller gave the example of a wealthy couple wishing to leave their estate to charity.
“If I have to pay income taxes, that means I’m giving less money to charity because I’m giving money to the IRS. That means I now have to adjust my deduction even more because less money is going to charity,” he said. “Did Congress really intend to create an algebraic formula?”
Historically, trusts and estates have been able to deduct income given to beneficiaries, which is then taxed on the individual level. This distribution deduction is designed to make sure income is only taxed once.
However, the new deduction limitation on top-earning individuals now applies to trusts and estates, according to a footnote in the Joint Committee on Taxation’s recent tax explainer, better known as the Bluebook. The JCT is nonpartisan and serves to explain legislation.
The One Big Beautiful Bill Act’s limit on itemized deductions means that taxpayers in the top bracket only get a deduction benefit of 35 cents for every dollar, rather than 37 cents. It applies to charitable deductions, and experts say it has already influenced how top earners give.
While the Bluebook is an interpretation of the OBBBA rather than law in and of itself, this provision is causing concern in the financial advisory community, according to lawyer Robert Keebler. For instance, he frequently sets up trusts for clients on their second marriages that will provide their surviving spouse with income but leave the remainder for children from the first marriage.
Consider a trust that distributes all $370,000 of its net income to a widow, he said. Applying the deduction limit to trusts means that the trust can only deduct $350,000 from its distributable net income and $20,000 would be subject to taxes, even though the widow is taxed on the entire $370,000, according to Keebler. To pay the tax, the trust either has to dip into its corpus, reducing the children’s future benefit, or get permission to give less to the spouse, which can require going to court.
This provision applies to this tax year, according to Keebler.
The double taxation issue could be resolved by an amendment by Congress, or, more likely, guidance from the Department of the Treasury. Keebler is planning with the anticipation that it will stand.
“We hope for the best but plan for the worst,” he said.
The Department of the Treasury did not answer CNBC’s questions by press time.
Miller said it is “reasonable to hope” that the Treasury Department will issue guidance by the end of this year. However, the devil will be in the details for which deductions the department decides to limit, he said.
For instance, the department might allow trusts to take unlimited deductions on distributing income to beneficiaries such as family members, which would resolve the biggest concern for financial advisors, Miller said. The footnote in the Bluebook mentions this deduction.
But Miller noted that the Bluebook’s footnote does not mention charitable deductions for trusts and estates. He told CNBC that he thought the omission was intentional and that it is possible the Treasury will keep the deduction limit on charitable giving for trusts and estates.
A person familiar with the JCT’s procedures told CNBC that staff had interpreted from the OBBBA that the charitable deduction would be treated differently from other deductions. The person spoke on the condition of anonymity because they weren’t authorized to speak publicly on the matter.
With six months until the end of the year, what advisors need most is clarity, Miller said.
“We just need to know the rules,” he added. “At the end of the day, advisors just want to do the correct thing. Right now, we don’t know what that is.”
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Why institutional investors are returning to retail 'in a very big way'
Investment transaction volumes reached more than $15 billion during the first quarter, an increase of 5% compared with Q1 2025, according to JLL.
Business
Tax changes won't deliver productivity or GDP boost
Changes to negative gearing, capital gains tax and trusts have not raised Treasury’s assumption that productivity will grow at 1.2 per cent in the medium term.
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Gunmen abduct seven students in northwest Nigeria, police say

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