Rajesh Agarwal Head of Research at Eastern Financiers Limited told CNBC-TV18, "The first quarter numbers in Bank of Baroda were in line but the asset quality concerns remain. Going forward the asset quality concern is still there. Even the advances and the deposits have dipped by around 1.5 percent. The business is not doing well but still on the valuation parameter it is trading at 0.5 price to adjusted book value and around less than 5 times price to earning which leaves little scope for going down."
"One can continue holding in to the stock for a medium term horizon, maybe six months down the line one can expect a price target of Rs 540-550 where I would suggest booking profit," he said.