Dolat Capital Market's research report on CSB Bank
CSB Bank reported a good set of numbers with further improvement in NIM to 5.4%, sharp sequential improvement in pro forma GNPAs (down 70 bps), healthy loan growth (9% QoQ) and good traction in low cost liabilities (34% YoY CASA growth). However, one-time actuarial impact of revision in mortality assumptions (Rs381 mn) resulted in higher opex and weaker PPoP/PAT vs estimates.
Outlook
We maintain our BUY recommendation on the stock with a TP of Rs330, valuing the bank at 2.2x of FY23E P/ABV against RoA/RoE of 1.4%/15%. The stock currently trades at 1.7x FY23E P/ABV.
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
