Net interest income is expected to increase by 2.9 percent Q-o-Q (up 20 percent Y-o-Y) to Rs 7666.5 crore, according to KR Choksey.
Profit is likely to be at Rs 3,244 crore in April-June quarter against Rs 2,696 crore in same period last year while net interest income may grow to Rs 7,724 crore from Rs 6,398 crore on yearly basis, according to average of estimates of analysts polled by CNBC-TV18.
A number of large companies have posted results since the earnings season started Thursday last week.
No negative surprises from the results and the loan book to grow by 15-16 percent in FY17, Deven Choksey, MD at KRChoksey.
Siddharth Purohit of Angel Broking, says there has been marginal improvement in gross non-performing loans (NPL) level and significant growth in net interest margins (NIMs).
Analysts say loan growth may be driven by retail growth, adding asset quality may remain stable. They see improvement in fee income growth and slight pressure on net interest margin.
In the near-term, Suresh Ganapathy of Macquarie Capital Securities does not see any re-rating catalyst. He believes the fundamental value of ICICI Bank is at Rs 240-250 per share.
In an interview with CNBC-TV18's Ekta Batra, Vaibhav Agrawal of Angel Broking, Kunal Shah of Edelweiss, Gaurang Shah of Geojit BNP Paribas and banking analyst Hemindra Hazari shared their readings of HDFC Bank's third quarter earnings.
Analysts expect fee income to grow 15-20 percent, aiding profitability. Fee income was 70 percent of other income and was up 21 percent in Q2 year-on-year.
The bank has always been rock solid in terms of asset quality and the improving trend will continue going forward too, said Vaibhav Agrawal of Angel Broking.
According to average of estimates of analysts polled by CNBC-TV18, profit is seen rising to Rs 2,875 crore from Rs 2,381.5 crore and net interest income may increase to Rs 6,598 crore from Rs 5,511 crore.
Vaibhav Agrawal of Angel Broking is very bullish on ICICI Bank with a target price of Rs 370.
From the management commentary, Vaibhav Agrawal, VP-Research-Banking, Angel Broking expects a broader outlook in terms of growth and performance of loan book.
Net-interest income is expected to rise by 4.5 percent quarter-on-quarter (up 21.5 percent year-on-year) to Rs 6284.6 crore, according to Motilal Oswal.
Provisions should be keenly watched, said analysts, because in Q4FY15 provisions shot up 102 percent Y-o-Y (up 3 percent Q-o-Q) to Rs 576.6 crore.
Amid generally weak sales performance, sectors that are likely be stronger are IT (14 percent), pharma (12 percent), media & entertainment (12 percent) and retail (10 percent), says Emkay.
Weak commodity prices, delayed capex recovery and soft rural demand are the key factors that will weigh on June quarter corporate earnings, says CRISIL Research.
"We expect around 15 percent year-on-year profit after tax (PAT) growth for private banks with stable pre-provision operating profit (PPOP) growth. PSUs will likely have a tough quarter operationally with elevated asset quality stress along with pressure on net interest margins," said Nomura.
In an interview to CNBC-TV18, Vaibhav Agrawal of Angel Broking and Jignesh Shial of IDBI Capital analyse HDFC Bank's Q4 results and their outlook on the stock.
Net interest income is expected to increase by 2.3 percent Q-o-Q (up 17.7 percent Y-o-Y) to Rs 5828.9 crore, according to Prabhudas Lilladher.
Net interest income is expected to increase by 5.5 percent Q-o-Q (up 21.4 percent Y-o-Y) to Rs 6012.7 crore, according to Motilal Oswal.
Net interest income is expected to increase by 2.6 percent Q-o-Q (up 18.1 percent Y-o-Y) to Rs 5847.5 crore, according to ICICIdirect.
In January-March quarter, HDFC Bank is expected to report similar growth to Q3. Profit may jump 20.9 percent year-on-year to Rs 2,812 crore and net interest income is seen rising 20.6 percent to Rs 5,971 crore in the quarter ended March 2015, according to a CNBC-TV18 poll.
Paresh Sukhtankar of HDFC Bank says neither funds nor capital were a constraint for growth and asset quality in the third quarter was largely stable. He, however, adds that a further pick-up in the bank‘s growth will depend on GDP growth
HDFC Bank's third quarter profit may jump 20.6 percent year-on-year to Rs 2,804 crore, according to the average of estimates of analysts polled by CNBC-TV18.