HDFC AMC has announced the allotment of 51,428 equity shares under its Employee Stock Option Scheme 2020. The Share Allotment Committee approved this allotment on February 17, 2026, through a circular resolution passed in compliance with regulatory requirements.

Share Allotment Details

The allotted equity shares carry a face value of Rs. 5 each and were issued to an eligible employee who exercised stock options under the company's ESOP 2020 scheme. The shares bear distinctive numbers ranging from 42,83,08,493 to 42,83,59,920, both numbers inclusive.

Updated Share Capital Structure

Following this allotment, HDFC Asset Management Company's paid-up share capital has been revised upward. The company now has a total paid-up share capital of Rs. 2,14,17,99,600, comprising 42,83,59,920 equity shares of Rs. 5 each.

Regulatory Compliance

The company has informed both the National Stock Exchange of India Limited and BSE Limited about this allotment in accordance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The notification was signed by Company Secretary Sonali Chandak on behalf of HDFC Asset Management Company Limited.

This allotment represents the company's ongoing commitment to its employee stock option program, providing eligible employees with opportunities to participate in the company's equity growth through structured stock option exercises.

HDFC AMC delivered a robust financial performance in Q3FY26, with operating revenue growing 15% year-on-year and 5% quarter-on-quarter to ₹10.80 billion, meeting analyst expectations. The asset management company demonstrated strong operational efficiency while maintaining healthy profitability margins during the quarter.

Quarterly Financial Performance

The company's financial metrics for Q3FY26 showed consistent growth across key parameters:

Yields came in at 46.50 basis points in Q3FY26 compared to 47.50 basis points in Q3FY25 and 46.60 basis points in Q2FY26, showing relatively stable performance.

Expense Management and Profitability

HDFC AMC's expense management showed mixed trends during the quarter. Employee costs increased significantly to ₹1.20 billion, up 30% year-on-year, though remaining flat quarter-on-quarter. Other expenses decreased to ₹730 million, down 2% year-on-year and 28% quarter-on-quarter, demonstrating effective cost control measures.

The company maintained strong profitability with an EBITDA margin of 81.5%, compared to 81.7% in Q3FY25 and 77.9% in Q2FY26, reflecting operational efficiency despite increased employee costs.

Nine-Month Performance Highlights

For the nine-month period FY26, HDFC AMC demonstrated accelerated growth momentum:

The nine-month performance indicates stronger growth compared to the quarterly figures, suggesting positive business momentum.

Analyst Outlook and Recommendations

Motilal Oswal has maintained its earnings estimates for FY26, FY27, and FY28, expressing confidence in the company's growth trajectory. The brokerage expects a 16% compound annual growth rate (CAGR) each in revenue, EBITDA, and profit after tax (PAT) over the FY25-28E period. Additionally, they project an 18% AUM CAGR during the same timeframe.

The research firm has reiterated its BUY rating on HDFC AMC stock with a target price of ₹3,200, based on 42x FY28E core earnings per share. This target reflects confidence in the company's ability to sustain growth and maintain its market position in the asset management industry.