CMP Rs1,125, Target price Rs1,400, Upside 24.4%
± Marginally better than expected loan growth; full–year growth target of 25%+
± NIM was resilient aided by faster re-pricing of loans; but margin to correct going ahead
± Fee income growth was strong; sequentially higher trading profits and recovery in written-off A/Cs drive improvement in C/I ratio
± Asset quality continues to deteriorate; capital adequacy comfortable for FY12 growth
± Retain BUY as valuation is reasonably attractive
