Kotak Mahindra Bank gains; Deutsche upgrades to buy

Shares of Kotak Mahindra Bank up as much as 3 per cent after Deutsche Bank upgrades the stock to "buy" from "hold" and increases the price target to Rs 1,080 from Rs 770.

High operating leverage in banking, broking and other sectors is driving strong earnings, while investments in its distribution network is resulting in sustained growth, Deutsche said in a note.

"The stock being a big beneficiary of capital market revival, with benefits accruing across business segments," it said.

Deutsche has increased earnings estimates for Kotak by 7 per cent for FY15 and 14 per cent for FY16 and expects consolidated earnings to grow at a 28 per cent CAGR over FY14-17.

Shares are up 2.7 per cent to Rs 924.45 at 12:41 p.m.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Regional parties that brought diversity to Indian democracy are at a dead end

    In the two decades, which began in 1989, when the paradigm of coalition politics came to dominate central governments, it would have sounded far-fetch

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Tushar Gandhi

Sustainable model for rural sanitation

Prime minister Narendra Modi has promised to build a toilet ...

Kuruvilla Pandikattu SJ

What we can learn from agnosticism

As an agnostic, the American writer David Breeden is aware ...

Shona Adhikari

When women to birds become a painter’s muses

This week the focus is on renowned artist Amitabha Banerjee, ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture