 "IndusInd Bank hits record high")
IndusInd Bank has touched its record high of Rs 1,014, up 3% on the National Stock Exchange (NSE), extending its past two day’s gain, after it reported a strong set of numbers for the fourth quarter ended March 31, 2016 (Q4FY16).
In past three trading sessions, the stock gained 4% as compared to 1% decline in the benchmark Nifty 50 index.
IndusInd Bank had reported a strong 25% year on year (yoy) jump in net profit at Rs 620 crore in Q4YF16 on back of 37% YoY growth in net interest income (interest earned minus interest expended).
Religare Institutional Research reiterates ‘buy’ rating on the stock with a price target of Rs 1,220, given the bank’s strong earnings growth, improving liability franchise and stable asset quality.
“IndusInd Bank’s asset quality remains strong and credit cost for FY16 stood at 57 basis points (bps) vs. management guidance of 60bps. FY17 credit cost is likely to remain lower than that seen in FY16 as the retail loan book is expected to do better,” the brokerage house said in a report.
"The bank reported net interest margins (NIMs) continue to move up by 3bps quarter on quarter to 3.94% to clock highest ever margins as reducing cost of funds benefit from stable CASA growth & re?financing of deposits. Management continues to target 4% NIMs, going ahead,” Prabhudas Lilladher said in a report with retaining ‘accumulate’ rating on the stock with price target of Rs 1,050.
In past three trading sessions, the stock gained 4% as compared to 1% decline in the benchmark Nifty 50 index.
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IndusInd Bank had reported a strong 25% year on year (yoy) jump in net profit at Rs 620 crore in Q4YF16 on back of 37% YoY growth in net interest income (interest earned minus interest expended).
Religare Institutional Research reiterates ‘buy’ rating on the stock with a price target of Rs 1,220, given the bank’s strong earnings growth, improving liability franchise and stable asset quality.
“IndusInd Bank’s asset quality remains strong and credit cost for FY16 stood at 57 basis points (bps) vs. management guidance of 60bps. FY17 credit cost is likely to remain lower than that seen in FY16 as the retail loan book is expected to do better,” the brokerage house said in a report.
"The bank reported net interest margins (NIMs) continue to move up by 3bps quarter on quarter to 3.94% to clock highest ever margins as reducing cost of funds benefit from stable CASA growth & re?financing of deposits. Management continues to target 4% NIMs, going ahead,” Prabhudas Lilladher said in a report with retaining ‘accumulate’ rating on the stock with price target of Rs 1,050.