Synopsis:
Motilal Oswal reiterated its “Buy” rating with a ₹5,000 target. Strong mutual fund AUM growth, tech-driven services, and expansion in alternatives and KRA segments support its robust financial outlook.
India’s Depositories, Clearing Houses, and Other Intermediaries sector underpins the nation’s capital market infrastructure, enabling secure, transparent trades and settlements. Notably, key players include depository services like CDSL (market cap ₹36,455 crore) and KFin Technologies (₹23,020 crore). The sector continues evolving, driven by technology and regulatory reforms, supporting rising market participation and robust investment flows
With a market capitalization of Rs 20,844.71 crore, the shares of Computer Age Management Services Ltd were trading at Rs 4,215.20 per share, increasing around 2.09 percent as compared to the previous closing price of Rs 4,128.95 apiece.
Motilal Oswal, one of the well-known brokerages in India, maintains a ‘Buy’ rating on this stock with a target price of Rs 5,000 apiece, indicating a potential upside of 21 percent from the previous closing price of Rs 4,128.95 per share.
Motilal Oswal highlighted that CAMS’ mutual fund AUM growth has accelerated, driven by consistent SIP inflows and MTM gains. With mutual fund penetration at just 4% and increasing traction in direct investing via discount brokers, the brokerage expects continued growth. CAMS is well-positioned to capitalize on rising mutual fund adoption as a preferred savings tool.
Motilal Oswal highlights CAMS’ strong foothold in the mutual fund industry with a 68% market share and Rs 44.10 lakh crore service AUM in FY25. The company handled 132 new fund offers, raising Rs 73,400 crore. Despite yield pressures, 12–14% AUM growth and expansion in payments, alternatives, KRA, and operating leverage are expected to cushion margins.
Looking forward to the company’s financial performance, revenue increased by 15 percent from Rs 310 crore in Q4FY24 to Rs 356 crore in Q4FY25. Furthermore, during the same time frame, the net profit increased by 10 percent, from Rs 103 crore to Rs 113 crore.
CAMS supports over 480 funds across 200+ fund houses with ₹2.5 trillion in assets under service. With 200+ installations of its digital solutions and being the first RTA at GIFT City for full-stack AIF services, CAMS leverages advanced tech for scalable, seamless operations.
Computer Age Management Services Limited is an India-based technology company focused on the capital markets, banking, financial services, and insurance (BFSI). The Company provides financial infrastructure and services to mutual funds (MFs), alternative investment funds (AIFs), insurance companies, and other financial institutions.
Written by Abhishek Singh
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