Why fund managers say Plenti Group's growth isn't reflected in its share price

Plenti Group delivered record profit growth and reached its $3 billion loan book target early, but a rate hiking cycle has weighed on non-bank lender sentiment.

31 May 2026 · 6 min read

Non-bank lender Plenti Group delivered a record FY26 result even as its share price fell, a disconnect Tamim Funds Management's May 2026 Monthly Report attributed to broader sector sentiment turning during an interest rate hiking cycle rather than anything company-specific. Cash profit before tax surged 117% to $30.8 million for the year to 31 March 2026, while cash net profit after tax rose 97% to $27.3 million, with loan originations up 32% to $1,868 million and the loan portfolio reaching $3.1 billion.

A software platform tested by the NAB partnership

Forager Funds framed the key test for the business back in September 2025: Plenti's pitch has always rested on a software platform that lends more efficiently than a bank, and its white-label deal with National Australia Bank, which does not have its own auto-lending product, is the real proof point. Tamim Funds Management's November 2025 Monthly Report quantified the early results, noting daily originations under the NAB partnership had jumped 110% and describing the relationship as a potential game-changer that could make Plenti a takeover target for NAB at some point.

The thing we think the market's underestimating is the upside opportunity from the NAB partnership, which is really yet to hit its straps. So over the medium term, we think that can provide a lot of upside.

— Wilson Asset Management, Article, November 2025

Operating leverage has been the standout theme across successive updates. Forager Funds' December 2025 Quarterly Report noted cash profit before tax for the half alone equalled the entire prior full year, while net interest income grew 27% against operating cost growth of just 16%. Tyndall Asset Management's November 2025 Monthly Report flagged that Plenti's market share in autofinance remains only low single digits, arguing there is still a long runway for growth even as the business trades under 10 times earnings.

What managers are watching next

Not everything has gone smoothly. Tamim Funds Management's January 2026 Monthly Report noted the resignation of a well-regarded CFO and a broader sell-down in non-bank lenders following an Australian rate hike, even as Plenti kept beating its own forecasts. With the $3 billion loan book target reached ahead of schedule in January 2026 and the stock trading on around 5 times cash net profit after tax by May 2026, Tamim's view is that sentiment toward non-bank lenders should improve once the rate hiking cycle ends, with the stock capable of more than doubling from current levels.