Shares of edtech company PhysicsWallah surged as much as 9.5% to ₹128.35 on the BSE following its Q1 FY27 results and rating upgrades by JPMorgan and JM Financial. The stock later settled 5.6% higher at ₹123.85, with the company’s market capitalization reaching approximately ₹35,883.9 crore ($3.7 billion), according to inc42.com.
JPMorgan upgraded PhysicsWallah’s rating to ‘Overweight’ from ‘Neutral’, maintaining a target price of ₹148, implying a 26% upside from the previous close of ₹117.20. The brokerage noted that the company’s Q1 performance exceeded expectations despite disruptions from the NEET exam cycle. JM Financial also upgraded the stock to ‘Buy’ from ‘Add’, with a target price of ₹140, citing the company’s resilient fundamentals and a more favourable risk-reward profile after a recent price correction, inc42.com reported.
PhysicsWallah’s operating revenue rose 24.4% year-on-year to ₹1,054 crore in Q1 FY27 from ₹847.1 crore in the same quarter last year. The company reaffirmed its guidance of around 30% revenue growth for FY27 and plans to divest its NBFC arm, FinZ Finance, to focus on its core education business. The upgrades and strong quarterly performance position PhysicsWallah among key players in the Indian edtech sector, where investors are closely watching revenue growth and strategic focus, inc42.com noted.
PhysicsWallah’s next earnings update is expected in the following quarter, when investors will assess whether the company sustains its growth trajectory and executes its strategic divestment plans, inc42.com stated.