Axis Bank - Recent Correction Provides Good Opportunity: HDFC Securities

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..HDFC Securities Retail Research.Axis Bank Ltd. is the third largest private sector bank in India. The balance sheet resilience is visible through strong capital adequacy. Legacy non-performing asset issues seem behind with net NPA at 0.91%; the slippages also remains muted. The bank’s back-book clean-up seems largely accomplished. The loan book has been de-risked and contribution of retail segment has risen; incremental lending is being done to better rated corporates only. Some structural changes could improve the margins in the longer run. Axis Bank is focused on tech investments and digital initiatives in order to ready itself for the next leg of growth in retail and small and medium enterprise segments. We feel that Axis Bank is now commencing the next leg of its journey anchored around sustained loan growth, portfolio rebalancing towards higher-yielding loans, reflecting in better pricing power - key monitorables to drive return on asset reflation beyond 1.5% and further rerating..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Axis Bank - Recent Correction Provides Good Opportunity: HDFC Securities

Axis Bank - Recent Correction Provides Good Opportunity: HDFC Securities

Choose a plan