External broker reports(aggregated public sources), Axis Direct

Axis Direct

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

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External broker reports(aggregated public sources)

Axis Direct is the flagship brand under Axis Securities Limited, a subsidiary of Axis Bank in India. 

Content available is external broker reports authored by a third party outside the Smartkarma network and has been aggregated by an online aggregator through publicly available sources and is displayed by Smartkarma in this format for user's convenience and general informational purposes only. Content does not constitute investment or financial advice and Smartkarma makes no representation or warranty regarding its accuracy or contents. Original third party author retains all copyright and other proprietary rights in the content. Access or use of third party links not controlled by Smartkarma are at the user's own risk.

Equity Bottom-Up

<p>We maintain SELL on the stock with a target of Rs 60/share(~0.25x FY23E ABV).</p><ul><li>Karnataka Bank (KBL) reported mixed results in Q3FY22 with pressure on operating profits due to muted loan growth, the decline in NIM and non-interest income.</li><li>Earnings growth of 8%/17% YoY/QoQ to Rs 147 Cr was led by lower provisions which were down 35%/60% YoY/QoQ. Loan growth continues to lag at Rs 55,489 Cr (up 4.3% YoY and 1.9% QoQ). NII was up 1% YoY but down 2.3% QoQ to Rs 623 Cr.</li><li>Pressure on yields (on advances) was visible with a 57bps /10bps decline to 8.81%. Cost of deposits marginally increased by 4bps QoQ to 4.68%. The bank’s NIM subsequently declined by 8bps /13bps YoY/QoQ to 3.18%.</li></ul><div class="content-highlight"><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></div>

We maintain SELL on the stock with a target of Rs 60/share(~0.25x FY23E ABV).Karnataka Bank (KBL) reported mixed results in Q3FY22 with pressure on operating profits due to muted loan growth, the decline in NIM and non-interest income.Earnings growth of 8%/17% YoY/QoQ to Rs 147 Cr was led by lower provisions which were down 35%/60% YoY/QoQ. Loan growth continues to lag at Rs 55,489 Cr (up 4.3% YoY and 1.9% QoQ). NII was up 1% YoY but down 2.3% QoQ to Rs 623 Cr.Pressure on yields (on advances) was visible with a 57bps /10bps decline to 8.81%. Cost of deposits marginally increased by 4bps QoQ to 4.68%. The bank’s NIM subsequently declined by 8bps /13bps YoY/QoQ to 3.18%.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Karnataka Bank

Result Update:Karnataka Bank