Rajesh Agarwal, Head of Research of Eastern Financiers Limited told CNBC-TV18, "L&T Finance Holdings is one of the probable candidates of getting a banking license but in the worst case scenario we think if this company doesn't get a banking license or even if it gets that it will take at least two-three years for the bank to become operational."
He further added, "At the present scenario only the non-bank financial company (NBFC) is performing and the performance has been quite good. Q4 saw a bottom-line jump of around 24 percent. Going forward also we believe that on advances side the company is going to grow by around 20-22 percent compound annual growth rate (CAGR) for the next two-three years."
"Hence we believe that for a longer term horizon that is for one and half to two years this stock can be held for a target of Rs 95-96 in the next one year. So it is a 20 percent jump from the current market price, so one can definitely hold on to the stock.” Also Read: New bank licence norm may turn out to be tricky for L&T
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