SKS Microfinance rose as much as 4.7 per cent in early trade as UBS initiated the stock with "buy" rating and price target of Rs 500.

At 9.50 am, the stock was trading at Rs 363.80, up Rs 14.85 or 4.26 per cent.

Non-banking microfinance companies have resumed their growth trajectory, UBS has said. UBS expects FY15-17 earnings CAGR of 66 per cent for SKS.