Axis Securities Sees Upside Potential In PSU Bank Stock, Large Cap Private Bank, Buy Call Assigned

Axis Securities has picked 2 banking stocks namely ICICI Bank and State Bank of India it its latest report. If you buy ICICI Bank Stock, you can get 24% return while if you invest in Government-owned banking stock, SBI, you can get 22% return. Check key takeaways below:

1. Buy ICICI Bank

The last trading price of the large cap banking stock is Rs 930 apiece with an intraday decline of 0.97%. Axis Securities has recommended investors to buy ICICI Bank with a target price of Rs 1150 apiece and a potential return of 24%.

According to Axis Securities, "Higher loan growth, improving operating profits, and a strong provision buffer coupled with a strong deposit franchise will help the bank achieve ROAE/ROAA expansion over FY23-25E."

Market Capitalisation: It has a market capitalisation of 6,49,207.46 crore.

Return: The banking stock has given multibagger returns to investors with last 5 years return at 204%, 3-years return at 82%, and 1-year return at 29%.

Financials: The bank for the quarter ended September 30, 2022 declared a consolidated total income of Rs 45,178 crore, up 15% from last quarter total income of Rs 39,218 crore.

Meanwhile, it declared net profit after tax at Rs 8,006 crore in latest quarter.

The banking company was incorporated in 1994. 

2. Buy State Bank of India

The last trading price of the leading PSU stock is Rs 607 apiece with 52-week high at Rs 622 apiece and 52-week low at Rs 425 apiece.

Market Capitalisation: It has a market capitalisation of Rs 5,42,214.79 crore.

Axis Securities has suggested investors to buy SBI at a target price of Rs 740 apiece. It will offer a potential return of 22%.

According to the analyst, "normalization in credit costs and improved growth outlook should lead to double-digit ROEs of 16.5% over FY23-25E."

Return: The stock has given 94% return in last 5-years, 79% return in last 3-years, and 27% return in last 1-year. It has jumped 13% in last 3-months.

Financials: The bank for the quarter ended September 30, 2022 declared a consolidated total income of Rs 114,782 crore, up 21% from last quarter total income of Rs 94,524 crore. It declared a net profit after tax at Rs 14,752 crore in latest quarter.

The banking company came into existence in 1955.

Disclaimer

The stocks have been picked from the brokerage report of Axis Securities. 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 check with certified experts before taking any investment decision.