CMP Rs1,038, Target Rs1,250, Upside 20.5%
± Reasonably strong business growth continues; bank lowers loan growth target to 18%
± NIM was resilient despite steep increase in funding cost; margin to gradually improve in the medium term
± C/I ratio continues to be elevated; consistent strength in asset quality was the key highlight
± Capital adequacy stands robust; RoA impressive at 1.4%
± Consistent strong performance calls for a valuation re-rating; upgrade to BUY
