Indian Bank share price target

Background: Indian Bank features among the mid-sized banks in the public sector space. As of 1QFY22, the bank had business of about 9.2tn operating through a network of 5,809 branches. Prior to amalgamation with Allahabad bank, Indian Bank's footprint was largely skewed towards the southern states of Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. Now the combined entity has a stronger presence in Central and Eastern states of India too. With RoA of ~0.75%, the bank features amongst the most profitable banks in the PSU space. The bank has...

INBK reported healthy operating performance supported by modest opex and higher other income, even as business growth remains muted. NIM, however, expanded 51bp QoQ to 2.85% (higher slippages in 4QFY21). Provisions continue to remain elevated, despite the bank reporting healthy RoA/RoE of ~0.8%/15% in 1QFY22. Asset quality was largely stable even as slippages came in elevated (~5% annualized). Collection efficiency declined in 1QFY22, while witnessing improving trends from Jul'21. Restructuring book stands ~2.7% of loans,...

Background: Indian Bank features among the mid-sized banks in the public sector space. As of 3QFY21, the bank had business of about 9.1tn operating through a network of 6,003 branches. Prior to amalgamation with Allahabad bank, Indian Bank's footprint was largely skewed towards the southern states of Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. Now the combined entity has a stronger presence in Central and Eastern states of India too. With RoA of ~0.26%, the bank features amongst the most profitable banks in the PSU space. The bank has...

Indian Bank reported a good set of Q3FY21 numbers relative to PSU peers. Asset quality on a notional/proforma basis remained steady while a pick-up in loan growth remained a positive. Business growth for the quarter showed improved traction as gross advances were up 7.5% YoY, 6.5% QoQ to | 389646 crore. Growth in advances was led by retail, agriculture and MSME segment, which were up 13% YoY, 11% YoY, respectively. Together they form ~56% of total advances. Corporate book growth was miniscule at 2% YoY amid cautious...

Indian bank is a mid-sized bank in the public sector, with a loan book size of Rs. 3.9 lakh crore and deposit base of Rs. 5.2 lakh crore. Allahabad Bank was merged with Indian Bank on 1st April 2020 and operates through a network of 6003 branches. Strong growth in NII (Net Interest Income) by 31% YoY due to 42bps improvement in Net Interest Margin....

Background: Indian Bank features among the mid-sized banks in the public sector space. As of 3QFY21, the bank had business of about 9.1tn operating through a network of 6,003 branches. Prior to amalgamation with Allahabad bank, Indian Bank's footprint was largely skewed towards the southern states of Tamil Nadu, Karnataka, Andhra Pradesh and Kerala. Now the combined entity has a stronger presence in Central and Eastern states of India too. With RoA of ~0.26%, the bank features amongst the most profitable banks in the PSU space. The bank has...

Indian bank is a mid-sized bank in the public sector, with a pre-merger loan book size of ~Rs.2,06,000cr and deposit base of ~Rs.2,60,000cr. Allahabad Bank was merged with Indian Bank on 1st April 2020 and operates through a network of 6062 branches....

respectively on an amalgamated basis, driven by lower slippages, higher treasury gains and lower other opex. Moratorium levels for TLs at 20% as of July-end based on one unpaid monthly instalment looks superior compared with peers. Based on two unpaid installments, the ratio stands at 7%. Despite the 160 bps erosion in CET1 ratio owing to the amalgamation with Allahabad bank, bank's CET1 ratio at 10.3% as of 1QFY20 remains the best amongst PSBs. With low capital consumption (RWA/assets at...