Private Banking Majors to Declare Results Coming Week
Kotak Mahindra Bank will soon be announcing quarterly results. The fast growing private bank is expected to declare positive results as per estimates of recent report by Prabhudas Lilladher. Kotak Mahindra Bank is currently trading with a P/E multiple of 41 and is hovering around its 52-week high of 612 on NSE.
Axis Bank is also expected to report around 8 per cent rise in Profit after tax as per report of Prabhudas Lilladher. Axis Bank is trading with a P/E multiple of 10. Stock Market expert PN Vijay has given a buy call for Axis Bank and IndusInd Bank in his interview with CNBC-TV18.
Tata Investment Corporation has given positive outlook on private banking counters. Kotak Mahindra Bank, IndusInd Bank and Yes Bank are offering higher interest rates on savings accounts. This will help the banks increase their consumer base although the margins will shrink due to higher interest rates. The fixed deposits have been witnessing lower investor interest as savings accounts are also offering good returns.
Banking stocks have given a return of nearly 2.5% over the past three month. Compared to last year level of banking index, the return is 4.4% lower.