Development Credit Bank

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : kkrriisshh

thanks for your note. I bought 10000 DCB at 31. will hold on to them.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : sandeep2004s

I cannot say what will be the price within one week. But I can say with confidence that the stock will cross Rs.50 within the next 3 to 4 months time frame.
Much of the fall in the stocks is due to frantic FII selling and as a result FII holding has come down from 30.03% in Q4FY08 to mere 12.84% in Q1FY09. Moreover the holding of Private Corporate bodies has gradually incrased from 10.14 to 15.49% in the last few quarters. Besides, the holdings of Mutual Funds/ Banks/LIC/Financial Institutions have almost doubled in the last few quarters. Hence this proves, that the stock has good potential to rise up from here.
Now coming to another front: CRR cut will only bring goodies to the Banking Sector. Industry has demanded a more cut in CRR to 6.5%, which will give futher amunition in the hands of Banks to generate more revenues. Any cut in the interest rate will further add to the positives of the banks.
Hence considering all these factors this Private Sector highly professional banks looks very good for immediate investments. Buy with a SL of Rs.22 for a target of Rs.150 in the next 2 years time frame. Thanks!!

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : kkrriisshh

it is not going up today. looks like thr is profit booking.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : kkrriisshh

what will the stock price of DCB say one week from today. Any guess.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : rashmi26

dear lalit,
hi,is there any message fr tomorrow from kotak sir.what levels has he given fr nifty levels by the end of the month
regds rashmi

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : Lalitdeshpandey

Dear rashmi26,


I hope my message of Friday must have proven helpful to you.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : sandeep2004s

....If Lehman Brothers is holding some stake how does it matter, when the whole of Lehman Brothers episode is now a past event. Besides whatever selling Lehman Brothers have done in the stocks has been done.
Moreover, why not consider that SBI and Tata Capital Ltd is holding stake in the company. Or we can say in future there are chances that, it could be taken over by State Bank of India.
If anyone is holding these shares at higher levels they should average them at the CMPs and on bounces.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : rashmi26

dear sandeep,
ihav 100 dcb @115.shud i by more to average so that my loss can be recovered.if yes then in what quantity.thanx-rashmi

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : ca2721

Well while it has HDFC bank, SBI, Tata Capital, it also has investments made by Lehman

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : ca2721

Well while it has HDFC bank, SBI, Tata Capital, it also has investments made by Lehman

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : sandeep2004s

I think all of you enjoyed my call of DCB Ltd which I gave in the last week. This is an excellent private sector bank whose share prices got butchered unnecessarily due to bad market conditions. The stocki is still trading below its book value of Rs.36.39 and is near its IPO price. It is stil available at throw-away price at the CMP of Rs.31 and should move up vertically from here. The company is opening a large number of branches in this fiscal and both its top and bottomlines will get considerable boost in the next few quarters.
Please read the following report:

The Mumbai-based Development Credit Bank Ltd (DCB) is reducing its exposure to unsecured personal loans in a bid to maintain its net interest margins, a top bank official said.

"To maintain net interest margins, we will have to bring down our exposure to personal loans from 17 percent last fiscal to 12-13 percent probably by the middle of the next financial year," the bank`s managing director and chief executive officer Gautam Vir said.

The bank expects to see a growth rate of 30 percent in advances and a 35-40 percent growth in deposits in the current fiscal, he said.

"We are slowing down our loan growth to ensure that we can maintain our net interest margins at current levels," Vir said after a meeting here with members of the Merchants` Chamber of Commerce.

The banks` net interest margin in 2007-08 was 2.9 percent and would be in the range of 2.9-3.1 percent in the current fiscal, he said.

He said the bank would raise the share of low-cost deposits to about 29-30 percent of its total deposits from its current share of 27 percent.
I would not be surprised if the share price of DCB Ltd crosses Rs.100 in the next 2 to 3 months time frame in view of futher cut in the CRR and ultimately a cut in the interest rates (which is expected to boost both its topline and bottomlines).

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : rashmi26

dear lalitdesh,
u dont hav to tell me. even i am a great fan of kotak sir.the decision to take position in nifty cal of 3500 became final after i saw his call.he is a bit busy these days so v are not getting his calls but i hav been followin him and his paper since the last year.
thanx rashmi

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : Lalitdeshpandey

Dear rashmi26,


I hope my message of Friday must have proven helpful to you.

Buy DCB Ltd for a target of Rs.55--Rs.65 in the next 3 to 6 months.....SBI, Tata Capital Ltd, and HDFC Ltd holdings stake makes it more attractive..

Posted by : rashmi26

dear sandeep,
ihav 100 dcb @115.shud i by more to average so that my loss can be recovered.if yes then in what quantity.thanx-rashmi