1 week ago
Turtlemint Shares Rise as Jefferies Sees Strong Upside
Turtlemint is a company that helps people buy insurance through financial advisors.
Its shares rose after Jefferies, a brokerage, recommended buying them.
Jefferies believes the shares could reach ₹190.
Turtlemint still lost money in the first quarter of FY27, but its loss became smaller than last year.
The company also earned much more revenue than it did a year earlier.
Its operating performance improved as its service EBITDA rose sharply.
The company’s shares had started trading below their IPO price in June.
Investors are now watching whether Turtlemint can keep growing and reduce its losses.
Turtlemint shares climbed as much as 5.7% to ₹152.80 after Jefferies initiated coverage with a Buy rating and ₹190 target.
Jefferies said Turtlemint could benefit from its growing Point-of-Sales-Person channel, which represents about 6% of insurance premiums sold in India.
Turtlemint’s Q1 FY27 net loss narrowed 19% year over year to ₹37.8 crore, while operating revenue rose 40% to ₹294.1 crore.
Service EBITDA increased 89% year over year to ₹39 crore, and the adjusted EBITDA margin improved to negative 9% from negative 20%.
The shares debuted below their ₹152 IPO price in June but were about 12% above their BSE listing price of ₹136.20.
- Who
- Turtlemint and Jefferies; Turtlemint COO Anand Prabhudesai also commented on the company’s performance.
- What
- Turtlemint shares rose after Jefferies began coverage with a Buy rating and ₹190 price target, following improved Q1 FY27 results.
- Where
- The shares traded on the BSE and NSE in India.
- When
- The shares rose during trading at around 13:27 IST; the results were for Q1 FY27, and the listing took place in June.
- Why
- Jefferies cited Turtlemint’s growing Point-of-Sales-Person channel, expected revenue growth and improving profitability; the company reported stronger revenue and service EBITDA.
Bullish outlook
Cautious context
Growth and profitability
Bullish outlook
Jefferies expects revenue to grow at a 38% three-year CAGR, supported by 31% premium growth and higher take rates, with adjusted EBITDA margins reaching 10% by FY29.
Cautious context
Turtlemint remains loss-making, reporting a ₹37.8 crore net loss in Q1 FY27 despite narrowing the loss year over year.
Share-price performance
Bullish outlook
The stock gained about 10.6% over five trading sessions and roughly 12% from its BSE listing price.
Cautious context
Turtlemint had a weak June debut, listing at discounts to its ₹152 IPO price on both the NSE and BSE.
Key facts
- Share price move
- Shares rose as much as 5.7% to ₹152.80 and were later 3.3% higher at ₹149.40.
- Jefferies target
- Jefferies initiated coverage with a Buy rating and a ₹190 target price.
- Q1 FY27 net loss
- ₹37.8 crore, down 19% from ₹46.7 crore in Q1 FY26.
- Operating revenue
- ₹294.1 crore, up 40% year over year from ₹210.5 crore.
- Service EBITDA
- ₹39 crore, up 89% year over year from ₹21 crore.
- Adjusted EBITDA margin
- Improved to negative 9% from negative 20% in Q1 FY26.
- Business network
- Turtlemint says it has facilitated over 3 crore policies with 46 insurers and has 6.9 lakh digital partners across 19,186 pincodes.
Quotes
Anand Prabhudesai
Chief Operating Officer of Turtlemint
“Service EBITDA growth of 89% YoY is a clear signal that our platform economics are strengthening at scale. Technology continues to be the core reason behind the increasing efficiency across every layer of the business, from digital partner onboarding to sales support.”
inc42.com
Sources
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