Banking Stock To Consider, Approve Dividend: Buy With Target Price Rs 37: Axis Securities

Ujjivan Small Finance Bank Ltd is all set to consider and approve interim dividend on February 21, 2023. The stock gave a return of 50% in last 1-year and 30% in last 6-months. Axis Securities is bullish on the stock and assigned buy call with a target price of Rs 37 apiece and potential return of 37%. Check details below:

1. Ujjivan Small Finance To Consider Dividend On February 21

According to the BSE filing, "Ujjivan Small Finance Bank Ltd has informed BSE that the meeting of the Board of Directors of the Company is scheduled on 21/02/2023, inter alia, to consider and approve proposal of declaration of interim dividend for the financial year 2022-23.

2. Ujjivan Small Finance Stock Performance & Return

The last trading price of the banking stock is Rs 27.45 apiece with intraday gain of 1.29%. The stock's 52-week high is Rs 33.50 apiece and 52-week low is Rs 13.50 apiece, respectively.

The company has a market capitalisation of Rs 5,365.12 crore. The stock declined 5% in last 1-month, gave a return of 30% in last 6-months, and 50% in last 1-years.

3. Ujjivan Small Finance Valuation

According to Axis Securities, "Healthy balance sheet growth, improving asset quality and consistent and strong operational performance are key re-rating triggers for the bank. We value UJSFB at 1.25x Sep'24E ABV to arrive at a target price of Rs 37, implying an upside of 25% from CMP."

4. Ujjivan Small Finance About

Ujjivan Small Finance Bank Limited is a mass market focused bank in India, catering to financially unserved and under-served segments and committed to building financial inclusion in the country.

Its Promoter, Ujjivan Financial Services Limited (UFSL) commenced operations as an NBFC in 2005 with the mission to provide a full range of financial services to the 'economically active poor' who were not adequately served by financial institutions.

Disclaimer

The stock has 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.