ING Vysya Bank has target of Rs 470-475: Aashish Tater

ING Vysya Bank has target of Rs 470-475, says Aashish Tater, Head of Research, Fort Share Broking.

Tater told CNBC-TV18, "ING Vysya Bank has been our stable bet from last one year perspective where we have been recommending this stock right from that Rs 310 levels from 2-3 years perspective for 25% YoY growth."
He further added, "If I take the adjusted book value for next year, the stock roughly trades at less than 1.3 times next year adjusted book value per share which given to large players like HDFC Bank, Yes Bank, Axis Bank and ICICI Bank is trading at much steeper discount. So we feel that eventually with good performance the company would bridge this particular gap and that’s why we have been maintaining a very positive buy on this particular stock along with Yes Bank.”
"Take a call where a company is going to grow at 25% because of good asset base and very good balance sheet structure we feel from banking space you have to look on companies, which has the potential to grow 20-25% and the price-to-book value will materialize once the company becomes very weak."
"On a market cap of Rs 6,000 crore odd with 43% owned by the promoters and almost everything is owned by institution and large players there is hardly any float onto the stock and given that we are working with a price-to-book of roughly around 1.7 odd times we feel even on conservative side the next year target for the stock would be somewhere around Rs 470-475."
"Take a call from after that year perspective, we again I think will have 20-22% upside even from that levels. So this is one stock which should be part of your portfolio from longer term perspective rather than from short-term angle." Disclosure: Safe to assume that above stock has been recommended to clients but no personal position.