With adequate capital, right asset mix, and headroom to add high-yielding assets, Kotak Bank has a decent growth trajectory despite challenges on the deposit front
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PRO Only Highlights
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
– Quarterly performance largely backed by improved realisations
– Medium-term triggers China plus and protectionist measures for tyre industry
– Valuations not inexpensive; but improved medium-term outlook
Highlights Strong result from the bank Asset quality pristine, negligible slippage, more than adequate provision Strong NIM expansion, has levers to maintain good margin Deposits struggle, term deposits picked up, CASA languishing Capital market linked businesses lag Long-term value creator to be added on every correction Uday Kotak calls it the “Cinderella moment of Indian banking” and Kotak Mahindra Bank (Kotak Bank, CMP: Rs 1903, Market Cap: Rs 3,77,816 crore), undoubtedly, is making the most of this environment with pristine asset quality, a very strong growth…
