Moneycontrol
Last Updated : Apr 17, 2018 03:51 PM IST | Source: Moneycontrol.com

Buy DCB Bank; target of Rs 215: ICICI Direct

ICICI Direct is bullish on DCB Bank has recommended buy rating on the stock with a target price of Rs 215 in its research report dated April 16, 2018

Broker Research @moneycontrolcom
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

ICICI Direct's research report on DCB Bank


DCB Bank reported a healthy set of Q4FY18 numbers with business traction and earnings coming in above our estimates Advances grew at a strong rate of 28.6% YoY (highest in the last six quarters) to | 20337 crore mainly led by the corporate, SME and mortgage book. Deposits increased 24.5% YoY to | 24007 crore with CASA ratio staying at 24%

Outlook

We expect RoA to improve gradually to 1.1% by FY20E and RoE to reach ~14%. With core fundamentals staying intact, we largely maintain our estimates. We revise our target price higher to | 215, valuing DCB Bank at 2.1x FY20E ABV. We have a BUY recommendation on the stock.

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.

First Published on Apr 17, 2018 03:51 pm
Sections
Follow us on
Available On