Shriram Finance Share Price Today (3 Dec 2025): Top Loser After 40% Rally, MUFG Deal Buzz and 2026 Stock Forecast

Shriram Finance Limited (NSE: SHRIRAMFIN) is taking a breather on 3 December 2025. After a spectacular three‑month rally of more than 40%, the stock is among the prominent losers in today’s trade — but still sits close to its all‑time highs and remains a Street favourite in the NBFC space. ^[1]

This article pulls together the latest price action, earnings, ratings, deal chatter and analyst forecasts available as of 3 December 2025, to give a complete, Google‑News‑friendly snapshot of where Shriram Finance stands now.

Shriram Finance share price today: profit‑taking after a big run

By early afternoon on 3 December 2025, Shriram Finance shares were trading in the ₹825–835 band on the NSE/BSE, down around 1–2% intraday. Moneycontrol’s live quote page shows a last traded level of ₹825.35, down about 2.1%, with an intraday range of roughly ₹819–846 and 52‑week range of ₹493–872. ^[2]

On the Nifty, the stock has slipped into the “top losers” list for the day. ET Now’s top gainers and losers dashboard ranks Shriram Finance alongside Max Healthcare among the biggest laggards, with the stock around ₹824.70, down 2.22%, on heavy volume of about 46.6 lakh shares. ^[3]

Despite the soft session, the recent performance remains exceptional. The Economic Times’ stock page shows: ^[4]

3‑month return: ~42%
1‑year return: ~32%
5‑year return: ~300%

Valuations, meanwhile, have moved to respectable — but not nosebleed — levels:

P/E (trailing): ~15.9x
P/B: ~2.8x
Dividend yield: ~1.2%
Market cap: around ₹1.55 trillion ^[5]

In short: today’s dip looks more like profit‑booking within an ongoing uptrend than a collapse in confidence.

Earnings engine: Q2 FY26 results show double‑digit growth

The underlying business has been delivering the kind of numbers that usually keep long‑only funds happy.

For Q2 FY26 (quarter ended September 2025), unaudited standalone results filed with exchanges show: TS2 Tech+1

Net interest income (NII): ₹6,266.8 crore, up ~11.8% YoY
Profit after tax: ₹2,307.2 crore, up ~11.4% YoY
Basic EPS: ₹12.27 vs ₹11.02 a year ago (~11.3% YoY growth)
Assets under management (AUM): ₹2,81,309 crore, up 15.7% YoY

The board also declared an interim dividend of ₹4.80 per share (240% of face value) for FY26, with 7 November 2025 as the record date. TS2 Tech

Axis Direct’s detailed Q2 FY26 report characterises the quarter as “inline” on operating metrics with a beat on PAT, driven by solid disbursements across commercial vehicles (CVs), passenger vehicles (PVs), MSME loans and farm equipment. AUM growth of 16% YoY / 3% QoQ is broadly in line with their expectations. ^[6]

On a full‑year basis, ET’s consolidated summary for FY25 shows: ^[7]

Total revenue: ~₹41,859 crore, up ~20% YoY
PAT: ~₹9,761 crore, up ~36% YoY (standalone view slightly lower but similar trajectory)
Net profit margin: ~23%

For a highly leveraged NBFC, sustaining this kind of growth while keeping margins and asset quality in check is a big part of the bull case.

Margins, asset quality and credit profile

Axis Direct’s Q2 FY26 note highlights an important shift: net interest margins (NIMs) have started to move up again as excess liquidity is normalised and cost of funds (CoF) begins to roll down. Key takeaways from the report: ^[8]

NIMs improved by about 8–9 bps QoQ, helped by utilisation of surplus liquidity.
Overall CoF fell by 12 bps QoQ to 8.83%, while new borrowings came in at 8.07%, setting up further repricing benefits.
Management maintains exit‑NIM guidance of ~8.5%, with full‑year NIM expected in the 8.25–8.3% zone for FY26.
Around 87% of borrowings are on fixed rates, so lower CoF benefits are expected to flow in over the next 12–18 months.

On credit quality, Axis notes: ^[9]

GNPA / NNPA at 4.57% / 2.49%, only marginally higher QoQ.
Credit costs are stable at about 2.07% (annualised), in line with management’s comfort band.
Asset quality has actually improved in CV, PV and farm equipment, with some deterioration in MSME, construction equipment, personal loan and gold segments — unsurprising for a lender focused on smaller borrowers.

Axis expects credit costs to average ~2.2% over FY26‑28E and projects RoA of 3.2–3.3% and RoE of 16–17%, which are high‑quality numbers for a large, diversified NBFC. ^[10]

On the external rating side:

Fitch Ratings upgraded Shriram Finance’s Long‑Term Foreign‑ and Local‑Currency Issuer Default Ratings to ‘BB+’ (Stable) from ‘BB’ in May 2025, citing sustained improvement in funding diversity, portfolio quality and profitability after the merger with Shriram City Union. ^[11]
ICRA currently rates the company’s fixed deposits and NCDs at [ICRA]AA+ (Stable), indicating strong domestic credit quality. ^[12]

These upgrades come even as the RBI has imposed small monetary penalties on Shriram Finance in 2025 — ₹5.80 lakh in February for KYC and credit‑information reporting lapses, and ₹2.70 lakh in July for breaches of digital‑lending guidelines. ^[13]
Financially irrelevant, these fines mainly signal the heightened compliance expectations that all large NBFCs are facing.

Strategic moves: MUFG stake talks, offshore funding and a new CEO

MUFG’s potential 20% stake

One of the year’s big headlines has been the prospect of a strategic investment from Japan’s Mitsubishi UFJ Financial Group (MUFG).

According to an Economic Times report summarised by Reuters, MUFG is in advanced talks to buy a 20% stake in Shriram Finance via a ₹232 billion (~$2.6 billion) primary issue through preferential allotment, with both sides said to have signed an exclusivity agreement. ^[14]

Shriram’s official response has been cautious: in a stock‑exchange filing referenced in the same article, the company called media chatter around any majority stake sale “speculation” and said it had no knowledge of any shareholder intent to sell. ^[15]

Whether or not a deal closes, the fact that MUFG is seriously circling the name underlines how Indian retail & commercial‑finance NBFCs have become attractive, high‑yield assets in a world still starved for growth.

Offshore borrowings and yen plans

Shriram has also been systematically diversifying its borrowing mix overseas:

In FY24‑25, management told Reuters it planned to raise $1.25–1.5 billion from overseas markets via bonds and loans. ^[16]
In early 2024 the company issued dollar bonds in the 3–3.5‑year bucket, and by March 2025, external commercial borrowings accounted for ~15% of funding, with overseas bonds another ~6.8%. ^[17]
CEO Y. S. Chakravarti told Reuters in April 2025 that Shriram is considering yen‑denominated fundraising to further diversify its liabilities, building on a $1.28 billion multi‑currency social loan raised earlier. ^[18]

The strategy: keep domestic deposit and bond funding as the core, but use offshore markets to manage cost of funds and match currency for specific asset pools.

Leadership transition: Parag Sharma steps up

The other big structural change is in the corner office. On 31 October 2025, the board approved a succession plan under which: TS2 Tech

Parag Sharma, currently MD & CFO, will become Managing Director & CEO with effect from 5 December 2025.
He will replace Y. S. Chakravarti, whose term ends on 4 December 2025.

Sharma has been with the Shriram group for over three decades, deeply involved in treasury, ratings and fund‑raising, so markets are reading this as a continuity move, not a radical regime change — but investors will still be watching his first few quarters closely.

What analysts and brokerages are saying

Broker commentary on Shriram Finance remains broadly constructive, though the tone has shifted from “deep value” to “quality at a fair price” after the stock’s big run‑up.

Domestic broker targets

Recent research from Indian brokerages, distilled by Trendlyne and other aggregators, shows: ^[19]

Axis Direct (3 Nov 2025): BUY, target ₹860 — sees Q2 as validating a ~16% AUM CAGR story with improving NIMs and controlled credit costs.
ICICI Direct (2 Nov 2025): BUY, target around ₹880, citing steady AUM growth, healthy disbursement trends and improving operating efficiency.
Motilal Oswal (1 Nov 2025): BUY, target ₹860, calling Q2 a “robust quarter” led by NIM expansion and lower credit costs.
Morgan Stanley (late November, via ET/Marketscreener): Overweight, target ~₹925, implying low‑double‑digit upside from late‑November prices. TS2 Tech+1
IIFL, YES Securities, Jefferies (early November): upgraded or reiterated BUY with targets in the ₹870–900 range. TS2 Tech

On the Economic Times stock page, the mean recommendation from 32 analysts is firmly in “Buy / Strong Buy” territory: 28 analysts rate the stock Strong Buy or Buy, 3 Hold and 1 Sell. ^[20]

Aggregated targets: some cooling at the margins

Where things get nuanced is on consensus price targets:

Trendlyne (Indian broker coverage): across 19 reports from 7 analysts, the average long‑term target is about ₹805 — modestly below the current price and implying only low single‑digit downside from levels around ₹830–835. TS2 Tech+1
TipRanks (global analyst coverage): shows a smaller analyst set with an average target of ₹735, highest ₹740 and lowest ₹730, again below spot, though many of these targets were set when the stock was lower. ^[21]

ET’s live stock page lists recent target‑price updates from Centrum (₹750, BUY) and Axis Securities (₹705, BUY), which are conservative relative to both domestic high‑conviction targets and the prevailing market price. ^[22]

Net effect: the Street still likes the franchise, but after a sharp rerating, upside expectations have become more selective — more about continued execution and potential strategic catalysts (like MUFG) than about multiple expansion alone.

Technical picture: strong uptrend, short‑term consolidation

On the charts, Shriram Finance still looks like a stock in a primary uptrend.

An ET Markets “Stock Radar” piece dated 1 December 2025 notes that the stock has: ^[23]

Rallied over 40% in three months, breaking out of a 14‑month consolidation on the monthly chart.
Formed a bullish pennant pattern, with technicians recommending buying on dips for a short‑term target of ₹930 over 3–4 weeks.
Continued to trade above key moving averages, suggesting strong underlying trend support.

At the same time, the Economic Times’ technical insights section flashes a near‑term caution: a 5‑day moving‑average crossover “sell” signal that has historically been followed by an average ~2.7% price decline within a week. ^[24]

Moneycontrol’s proprietary scoring system gives Shriram Finance a “Very Bullish” technical trend rating and a score of 68/100, reflecting momentum strength despite today’s pullback. ^[25]

Put together, the technicals argue for “uptrend intact, but stretched” — which fits the price action on 3 December: a short‑term shake‑out after a big run.

Key risks to watch into 2026

Even fans of the stock agree that Shriram Finance is not a risk‑free compounder. Current analyses highlight a cluster of themes investors should monitor: ^[26]

Cyclicality in core segments
The lender’s heartland is commercial vehicles, small transport operators and MSMEs. These borrowers are highly sensitive to diesel prices, freight demand and broader economic growth. A downturn could quickly show up as higher delinquencies and credit costs.
Regulatory tightening for NBFCs and digital lending
The RBI is steadily narrowing the gap between bank and NBFC regulation, and has already hit Shriram with small fines related to KYC, credit‑information reporting and digital‑lending norms in 2025. While financially minor, such actions underscore the need for tight compliance as the franchise grows.
Funding costs and currency risk
Diversifying into dollar and yen borrowing, social loans and offshore bonds helps broaden the investor base, but also brings in FX and refinancing risk. If global or domestic interest rates surprise on the upside, margins could come under pressure despite the current NIM tailwind.
Deal overhang from MUFG talks
MUFG negotiations could be a double‑edged sword: a large primary issue at a discount or stalled talks could trigger volatility, even if the long‑term strategic logic is sound. Until there is formal clarity, the stock may occasionally trade on deal headlines.
Valuation after a big rally
With three‑month returns above 40%, five‑year returns above 300% and P/E in the mid‑teens, some analysts see limited near‑term upside and emphasise earnings catch‑up and capital‑allocation discipline as key to the next leg of the story.

Bottom line: what 3 December 2025 signals for investors

As of 3 December 2025, Shriram Finance is a high‑growth, well‑rated NBFC that has:

Delivered double‑digit NII, PAT and AUM growth,
Seen its international rating lifted to BB+ by Fitch,
Maintained AA+ domestic ratings on key instruments, and
Attracted serious strategic interest from MUFG and persistent BUY ratings from most major brokers. ^[27]

At the same time, the stock has already priced in a lot of good news. With the price sitting close to record highs and some consensus targets now below spot, the debate has shifted from “Is Shriram a good business?” to “How much of that quality is already in the price?” TS2 Tech+2TipRanks+2

For existing shareholders, the next big checkpoints are likely to be:

Execution under incoming CEO Parag Sharma from December 2025,
Any concrete announcement (or cancellation) of the MUFG stake deal, and
The trajectory of AUM growth, NIMs and credit costs in Q3–Q4 FY26. TS2 Tech+2Reuters+2