Bandhan Bank Offers Strong Upside At Current Levels: SMIFS

Sharad Avasthi, Head of Research (PCG) at SMIFS, has picked Bandhan Bank as his top choice from the selection of private bank stocks. He outlined several factors that contribute to his favourable view of the bank. Sharad Avasthi noted that the management consistently provides guidance on the business strategy, resulting in value creation across various business verticals. Additionally, he highlighted the improved credit cost matrix and the stabilization of the microfinance business. Sharad Avasthi also mentioned positive developments in the asset management company (AMC) and housing finance sectors. With a target price range of Rs 325-350, Bandhan Bank is considered a promising long-term investment opportunity. Avasthi emphasized that the stock appears undervalued and cited the strong performance reflected in the financials of the last two quarters as further support for his recommendation.