Jio Financial Services Shares Face Selling Pressure After Q3 Results
Jio Financial Services Limited shares experienced selling pressure on Friday morning. This happened right after the company announced its Q3 results for 2026. The stock opened flat at ₹287 per share on the National Stock Exchange. Within minutes, it turned red and dropped to an intraday low of ₹282.60. This represented a loss of over one percent in early trading.
Strong Results Met with Market Caution
Market experts noted the selling pressure appeared despite strong quarterly numbers. Jio Financial Services declared its Q3 FY26 results on Thursday. The company showed a significant shift in its earnings structure. It moved from treasury-led income to operating-led earnings. This change helped drive the company's turnaround performance.
However, the share price faced immediate resistance. Experts identified a key hurdle in the ₹292 to ₹294 range. They suggested that if the stock closes above this resistance level, it could potentially climb to ₹305 per share.
Analyst Review of Q3 Performance
Seema Srivastava, Senior Research Analyst at SMC Global Securities, provided detailed insights. She stated that Jio Financial Services delivered a robust Q3 FY26 performance. The company demonstrated rapid scaling across its core financial services businesses.
Consolidated total income more than doubled year-over-year to ₹901 crore. This growth came primarily from sharp increases in lending, payments, asset management, and allied platforms. A crucial metric showed improvement in earnings quality. The share of net income from core business operations rose to 55%. This marked a significant jump from just 20% a year ago.
Breakdown of Business Segments
- Jio Credit (NBFC arm): This remains the key growth engine. Assets Under Management (AUM) surged 4.5 times year-over-year to ₹19,049 crore. The segment showed robust disbursements and strong Net Interest Income growth of 166% year-over-year. Rising pre-provisioning profits indicate scale benefits and an improving cost of funds. The lending franchise appears to be transitioning from a build-out phase to early operating leverage.
- Payment Solutions and Payments Bank: These areas showed strong traction. Transaction volumes, deposits, and customer base expanded sharply. Growth was supported by a rapidly expanding business correspondent network and deeper merchant integration.
- Asset Management (Jio-BlackRock JV): This venture is scaling well. It has nearly ₹15,000 crore in AUM with strong Systematic Investment Plan (SIP) adoption. Meaningful participation from B30 cities reinforces JFSL's mass-market distribution strength.
Srivastava noted that profits from associates and joint ventures moderated. This was due to upfront investments, which she described as strategic and consistent with long-term franchise creation.
"Overall, JFSL is executing a balanced strategy," Srivastava said. "It is aggressively scaling growth-stage businesses while incubating newer platforms like wealth management, insurance, and broking."
Technical Chart Analysis and Price Targets
Mahesh M Ojha, AVP of Research at Kantilal Chaganlal Securities, examined the technical picture. He pointed out that Jio Financial Services share price has established a crucial base at ₹276.
"One can maintain a buy on dips strategy until the stock is above ₹276," Ojha advised. "Breaking below this support means there will be limited buyers below these levels."
On sustaining above this support level, Ojha projected the share price could reach ₹298 and ₹305 per share.
Important Disclaimer for Investors
This market analysis is for educational purposes only. The views and recommendations expressed belong to individual analysts or broking companies. They do not represent the views of Mint. Investors are strongly advised to consult with certified experts before making any investment decisions.
