Shares of Aye Finance experienced a remarkable rally on Tuesday, July 21, surging as much as 15.05% to reach a fresh record high of ₹197.29 per share on the NSE. According to reports from Business Standard, the non-banking financial company stock later pared some gains but remained firmly in positive territory, trading at ₹194.46 at 11:50 am, representing a 13.41% increase from the previous close. The strong performance came despite broader market volatility, with the Nifty50 declining 70 points or 0.29% to 24,168 during the same period.
The stock surge was triggered by Aye Finance's release of its Vision & FAQs document, which outlined ambitious growth targets for the company. As reported by Business Standard, the NBFC expects assets under management (AUM) to grow 25-30% in FY27 and achieve a CAGR of 28-33% over the next three years. The company has now released a comprehensive investor presentation detailing its strategic vision, targeting an Assets Under Management (AUM) of approximately ₹24,000 crore within five years from the current ₹7,044 crore reported in FY26. This represents a 27% increase in AUM during FY26, demonstrating the company's strong execution capabilities.
According to the latest financial results, Aye Finance demonstrated robust growth momentum with standalone net sales reaching ₹528.44 crore in March 2026, representing a 29.16% year-on-year increase from ₹442.78 crore in December 2025. The company's December 2025 net sales had already shown strong growth of 22.66% Y-o-Y from the previous period, indicating consistent revenue expansion. The company serves 6.5 lakh active customers through a network of 571 branches across 18 states and 3 union territories, with its portfolio consisting of 78% Hypothecation Loans and 22% Mortgage Loans.
According to the latest investor presentation, Aye Finance expects its Return on Assets (RoA) to reach 4-6% through the cycle, with management noting that in a normal year, as credit costs normalise, the RoA could reach 5% or more. The company's operating leverage is expected to improve significantly, with the opex-to-assets ratio guided down from 9.6% in FY26 to 8.25-8.75% in FY27 and 7.0-7.5% over three years. Credit costs are projected to stabilise between 3.5-4.0% in FY27, down from 4.76% in FY26. The company's Net Interest Margin stood at 14.6% in FY26, while the average cost of borrowings has reduced to 10.9% aided by a recent credit rating upgrade to 'A+ stable' by India Ratings in June 2026.
