Axis Bank may test Rs 1100: Rajesh Agarwal

Rajesh Agarwal, Head of Research at Eastern Financiers Limited told CNBC-TV18, "At this point of time the entire carnage has been done and I do not think anymore downside is left on the fundamental side. Although maybe due to
market conditions Axis Bank may again correct Rs 40-50 from the current market price, but going purely by numbers first quarter net income increased by 12.26 percent, PAT increased by 22 percent.”

He further added, “We expect FY14 EPS to be around Rs 110 going by around 10 times earnings also the market price should be around Rs 1,100. So we have a target of around Rs 1,100 in next 6-9 months. Currently it is trading at a PE of less than 8 which we believe is giving a good entry point for a medium to long-term investor to invest in Axis Bank.” Disclosure: I do not have personal holdings in the above stock but may have recommended them to clients.