1:5 Split, Rs 5.50/Share Dividend: Buy Multibagger PSB, TP Rs 300: Motilal Oswal

Motilal Oswal has assigned buy call to public sector lender Bank of Baroda shares with target price of Rs 300 apiece. Bank of Baroda shares 57% in last 1-year and gained 123% in last 2-years. Last trading price of Bank of Baroda share on BSE is Rs 267.85 per share with intraday fall of 1.00%. The bank has a market capitalisation of Rs 1,38,514.94 crore. The state-run bank offered dividend amounting to Rs 5.5/share in last 1-year and conducted stock split in 2015 in the ratio of 1:5. More details below:

Motilal Oswal Recommends Buy: According to the brokerage firm, Bank of Baroda emerged as the major outperformer within the PSU space. "It is consistently moving upwards with a good support base buying. Month-on-month basis this stock has outperformed from the last five months and on weekly basis it has come out of its consolidation as well." The analyst has assigned a target price of Rs 300 and asked to keep the stop loss at Rs 277 as the analyst expects further growth opportunities in the PSB.

Bank of Baroda Stock Split History: Bank of Baroda split face value of its shares once since January 22, 2015. Bank of Baroda last split the face value of its shares from Rs 10 to Rs 2 in 2015. The share traded ex-split on January 22, 2015.

Dividend History: Bank of Baroda announced 24 dividends since July 13, 2001. In last 12 months, Bank of Baroda announced an equity dividend amounting to Rs 5.50 per share. At the current share price of Rs 267.9500, Bank of Baroda offers a dividend yield of 2.05%.

Recent Credit Rating: The PSB recently issued a BSE filing on March 1, 2024 stating, "We advise that India Ratings & Research has released its rating rationale on Bank of Baroda where in India Ratings Assigns Bank of Baroda's Additional CDs 'IND A1+ and Affirms Existing Ratings."

Bank of Baroda Shares Performance & Return: The 52-week high price of Bank of Baroda stock on BSE is Rs 285.50 apiece and 52-week low price is Rs 168.55 apiece, respectively. The bank has a market capitalisation of Rs 1,38,514.94 crore. Bank of Baroda shares gave return of 17% in last 3-months, offered return of 29% in last 6-months, surged 57% in last 1-year, and gave return of 305% in last 3-years. Bank of Baroda stock zoomed 105% in last 5-years.

Bank of Baroda Financials: The state-run bank on January 31, 2024 declared a surge of 18.8% in its net profit for the quarter ended December 31, 2023 to Rs 4579 crore as against Rs 3852.7 crore in the corresponding quarter of last year.

The PSB's net interest income or NII declared at Rs 11,101 crore, up 2.6% YoY as against Rs 10,818.3 crore in the similar quarter of last year. Bank of Baroda's achieved improvement in asset quality as Gross NPA arrived at 3.08% during the quarter under review as against 3.32% in the last quarter.

About Bank of Baroda: It is India's leading public sector bank with a strong domestic presence supported by self- service channels. The Bank has a significant international presence with a network of 100 branches/offices of subsidiaries, spanning 20 countries. The Bank has wholly owned subsidiaries including BOB Financial Solutions Limited (erstwhile BOB Cards Ltd.), BOB Capital Markets and Baroda Asset Management India Ltd. Bank of Baroda also has joint ventures for life insurance viz. IndiaFirst Life Insurance Company Limited and India Infradebt Ltd., engaged in infrastructure financing. The Bank owns 98.57% in The Nainital Bank.

Disclaimer: The stock has been picked from the brokerage report of Motilal Oswal. Greynium Information Technologies, the Author, and the respective Brokerage house are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to consult with certified experts before making any investment decision.