Moneycontrol PRO

Why should investors consider City Union bank despite sharp fall in asset quality in FY21?

City Union Bank's management had cautioned about the asset quality stress much in advance

May 31, 2021 / 10:13 AM IST
Why should investors consider City Union bank despite sharp fall in asset quality in FY21?

PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook

City Union Bank (CUB) (CMP: Rs 174; Mcap: 12,848 crore) a mid–sized private sector bank, has reported subdued performance in FY21. While loan growth was muted and asset quality deteriorated, the bank managed to report an earnings growth of 24 per cent year on year (YoY) mainly aided by treasury income, better margins and contained operating expenses. CUB mainly extends loans to trading and MSME segments. The pandemic has disrupted cash flows of these small businesses. Consequently, CUB’s asset quality...

  • PRO Panorama

    Moneycontrol Pro Panorama | Robinhood missed the mark on a bumper listing

    Jul 30, 2021 / 04:26 PM IST

    In today’s edition of Moneycontrol Pro Panorama:  Why Robinhood stumbled, the problem with IMF forecasts, the Immunity Tracker, Tech Mahindra’s growth appeal, Tactical Pick, the Indian startup rage, China pushes back on crypto and more  

    Read Now
  • PRO Weekender

    Moneycontrol Pro Weekender | The East is Red Again

    Jul 31, 2021 / 10:01 AM IST

    The market carnage spread from China’s e-commerce and fintech bigwigs such as Alibaba and Tencent to edtech companies and then to the property sector

    Read Now

To read the full story, Subscribe to Moneycontrol PRO

Access the exclusive stories, weekly investment ideas and daily technical calls in an Ad free experience

Already a member? Sign in

Limited Period offer on Moneycontrol PRO. Subscribe to PRO and get up to

50% OFF

What Do You Get

  • Ad free experience

    Experience a non-intrusive navigation and faster response in the ad free mode

  • Sharpest Opinions

    Access to 230+ exclusive stories per month from our editorial and Experts

  • +

    Have a Global edge with access to content from world renowned experts and journalist

  • Actionable Insights

    Access to 40+ weekly investment ideas including 4 daily technical calls

  • Virtual Events

    Exclusive access to live webinars from market experts on trading and investment strategies

  • Newsletters

    Daily and weekly insights bundled and sent to your inbox to keep you ahead in the race.

Get upto 50% discount on limited period offers