Nisus Finance Services Share Price Slumps 10% Post Q4 Results: Should You Buy, Sell or Hold?

Mumbai, May 31, 2025 — Shares of Nisus Finance Services Co. Ltd., the mid-tier non-banking financial company (NBFC), nosedived nearly 10% on Friday after the firm posted weaker-than-expected results for the fourth quarter of FY24. The sharp correction took the stock to its lowest level in two months, raising concerns among investors about the company's growth trajectory and valuation.

But does this dip present a buying opportunity, or is it a red flag for further downside? In this deep-dive, we break down the Q4 numbers, assess market sentiment, and offer a practical Buy, Sell, or Hold call for investors.

Share Price Reaction: Market Punishes Weak Numbers

Nisus Finance stock opened at ₹92.10 on the BSE and quickly slipped to an intraday low of ₹83.25, down 10.1% from the previous close of ₹92.60. Volumes surged nearly 3x the average daily turnover, suggesting institutional action, possibly from those disappointed with the results.

By the end of the trading session, the stock settled at ₹84.00, recording a one-day loss of 9.29%.

Share Performance Snapshot:

While the stock is still up over 26% year-to-date, the recent correction has created a psychological dent in investor sentiment.

Q4FY24 Earnings: The Numbers Behind the Nosedive

The fall in share price was triggered by the Q4FY24 earnings, which fell short of Street expectations on most key metrics — net profit, asset quality, and loan disbursements.

Key Highlights: Nisus Finance Q4 Results

Key Takeaways:

• Net Profit slumped 28% YoY, impacted by rising provisioning and stagnant NII growth.

• Asset quality deteriorated, with both GNPA and NNPA inching higher.

• The Capital Adequacy Ratio declined to 19.7%, though it remains above the RBI-mandated level.

According to the company, the quarter saw elevated provisioning in anticipation of stressed exposures from two real estate clients. Moreover, slower loan disbursements amid regulatory tightening also hurt topline growth.

Management Commentary

In its post-results conference call, Nisus Finance’s CEO Mr. Amit Goenka acknowledged the short-term pain but remained optimistic about FY25.

"The Q4 numbers reflect a conservative provisioning approach in line with our risk management principles. While some stress remains in the real estate segment, we are confident of recovery in FY25 as we diversify our loan book."

He added that the company is shifting focus to SME and healthcare lending verticals to de-risk sectoral concentration and targeting 20% AUM growth for FY25.

Brokerages React: Mixed Views on the Road Ahead

Following the earnings release, brokerage houses have offered divergent views. While some see the stock correction as a value-buying opportunity, others warn of near-term volatility.

Analyst Calls Post Q4:

Peer Comparison: How Does Nisus Stack Up?

When benchmarked against other mid-tier NBFCs, Nisus Finance’s recent performance appears subdued, particularly on profitability and asset quality.

The data indicates that Nisus is trailing in profitability and quality metrics, which justifies the negative stock reaction to its quarterly numbers.

Technical Analysis: Key Levels to Watch

On the charts, Nisus Finance has broken below its 50-DMA (₹88.50) and is testing support near its 100-DMA at ₹82.

Technical Outlook:

• RSI: 41.2 (approaching oversold territory)

• MACD: Bearish crossover confirmed

• Support Levels: ₹82.00 / ₹78.50

• Resistance: ₹88.00 / ₹92.00

If the ₹82 level holds, a short-term bounce is likely. A breach, however, could lead to further downside toward ₹78 or lower.

Buy, Sell, or Hold? Our View

Buy if:

• You believe in the long-term NBFC story and are comfortable with short-term volatility.

• You’re accumulating on dips for a 12–18 month horizon.

• You trust the company’s diversification efforts and recovery path.

Sell if:

• You’re risk-averse and uncomfortable with rising NPAs or uncertain asset quality.

• You bought near recent highs and want to preserve capital.

Hold if:

• You're already invested at lower levels and want to wait for clarity post Q1FY25.

• You believe the provisioning cycle is peaking and better quarters lie ahead.

What’s Next for Investors?

1. Q1FY25 Preview: The next quarterly results will be a litmus test for management commentary. Investors should track AUM growth and NPA reduction closely.

2. Loan Book Diversification: Execution on sector diversification will determine how much re-rating the stock can attract.

3. Sector Sentiment: NBFCs as a whole are under the spotlight due to RBI tightening and credit quality risks.

Final Word

Nisus Finance Services' 10% slump post-Q4 results has stirred up investor anxiety, but it also opens up a valuation re-entry window for those with a longer horizon. While the earnings miss and rising stress are legitimate concerns, the company’s commitment to course correction through sectoral diversification and conservative provisioning provides some cushion.

Investors should watch closely how the first half of FY25 unfolds before making large allocation bets.