Axis Bank Share Price Today: Axis Bank shares climb to a fresh life-time high of Rs 895.90 apiece on NSE, breaching its previous high of Rs 866.90 per share that it had made on October 25, 2022. In early morning deals, Axis Bank share price today opened with an upside gap and went on to hit a fresh high, rising around 8 per cent from its previous close of Rs 825.85 apiece.
On Thursday, the private lender reported a 66.29 per cent increase in its consolidated net profit for the September quarter, coming in at Rs 5,625.25 crore. That increase was primarily due to margin expansion and a significant drop in bad loan charges.
The third largest private sector lender recorded a rise in profit after tax of 70 per cent for the July to September period, totaling Rs 5,329.77 crore.
The assets increased by 14 per cent, while the net interest margin increased by 0.57 percentage points to 3.96 percent, driving up the core net interest income by 31 per cent to Rs 10,360 crore.
A loss of Rs 86 crore on the trading income side, as opposed to gains of Rs 473 crore in the same period last year, however, reduced the other income to 4 per cent growth of Rs 3,941 crore.
Amitabh Chaudhry, Managing Director and Chief Executive of the bank, stated that the bank had already met the year-end forecast on NIMs, providing it with some cushion, and that the bank will now more carefully consider expansion options while maintaining margins.
What Should Investors Do Now?
Sumeet Bagadia, Executive Director at Choice Broking said, “Axis Bank shares have given breakout at around Rs 865 levels and if the stock gives closing above this level we can expect the stock to go up to Rs 920 apiece levels in the near term. So, one can buy the stock at current levels for Rs 920 target keeping the stop loss at Rs 820. One is advised to accumulate further if the stock comes around Rs 850 levels as profit booking is awaited in the scrip.”
Advising positional investors to buy and hold the stock till next year Diwali, Ravi Singhal of GCL Securities said, “One can buy and hold the stock for Diwali 2023. an investor can keep on accumulating in Rs 850 to Rs 800 range for one year target of Rs 1,170.”
Motilal Oswal said: “Axis Bank delivered a stellar performance in the September quarter, driven by sharp margin expansion and a significant decline in provisions along with improving trends in cost metrics. Buoyed by an exemplary performance, we revise profit after tax for FY23/24 by 17/11 percent respectively. We estimate Axis Bank to deliver FY24 return on assets/equity (RoA/RoE) of 1.8/18.1 percent respectively. We reiterate our buy rating with a target price of Rs 975 (2.0x FY24 adjusted book value)”
LKP Research said: “We value the standalone bank at a price-to-book value of 2.1x FY24 adjusted book value per share of Rs 478 and arrive at a price target of Rs 1,005. We recommend buy with a potential upside of 22 per cent from current levels.”
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