Trade Call: Maha Shivratri Stock Pick 2024 By Sumeet Bagadia of Choice Broking

Based in Mumbai, India, IndusInd Bank Limited is a financial services company. Today's BSE closing price for the large-cap private sector bank's shares was Rs 1564.10. The scrip reached a 52-week-high of Rs 1,694.35 on (15/01/2024) and a 52-week-low of Rs 990.25 on (20/03/2023). On the occasion of Maha Shivaratri going to be held on Friday 8 March 2024, Sumeet Bagadia - Executive Director of Choice Broking has recommended to buy the stock for a target price of Rs 1690/ 1800.

IndusInd Bank Share Price Target

Buy INDUSINDBK @ Rs 1550 & add upto Rs 1510 for the target of Rs 1690/ 1800

Sumeet Bagadia said, INDUSINDBK, currently trading at Rs 1550, has recently broken out of its range by forming a new higher high and higher low, indicating a strong uptrend. The immediate resistance is near the Rs 1690 level, and the current price is exhibiting strong bullish momentum, expected to continue towards the Rs 1800 level. On the flip side, there is robust support near Rs 1440.

Moreover, INDUSINDBK is trading above key Exponential Moving Averages (EMAs), including the 20-day, 50-day, 100-day, and 200-day EMAs, indicating robust bullish momentum and suggesting potential for further upward price movement. The Relative Strength Index (RSI) is presently at 57.54, showing an upward trajectory and indicating increasing buying momentum.

Additionally, the Stochastic Relative Strength Index (Stoch RSI) exhibits a positive crossover. These technical indicators collectively suggest that INDUSINDBK may have the potential to reach target prices of Rs 1690 and Rs 1800 in the near term. A prudent strategy would be to consider buying on dips at levels of Rs 1510.

Overall, considering the technical analysis and current market conditions, INDUSINDBK presents a promising buying opportunity for those aiming for a Rs 1690 and Rs 1800 price target, provided that prudent risk management measures are in place.

IndusInd Bank Financials

At their meeting on Thursday, January 18, 2024, in Mumbai, the Board of Directors of IndusInd Bank Limited approved the bank's financial performance for the quarter and nine months ended December 31, 2023. At Rs 5,296 crores at the end of the quarter on December 31, 2023, net interest income increased by 18% YoY and 4% QoQ. In comparison to 4.29% in Q2 of FY24 and 4.27% in Q3 of FY23, the net interest margin for Q3 of FY24 was 4.29%. The net profit for the quarter that ended on December 31, 2023, was Rs 2,301 crores, up 17% YoY from Rs 1,964 crores in the same period the previous year.

As of December 31, 2023, the balance sheet recordings were Rs 4,88,865 crores, up 10% from Rs 4,44,485 crores in the same quarter of the previous fiscal. Deposits increased by 13% from December 31, 2022 to December 31, 2023, totalling Rs 3,68,793 crores compared to Rs 3,25,278 crores. With current account deposits of Rs 50,044 crore and savings account deposits of Rs 91,880 crore, CASA deposits climbed to Rs 1,41,924 crore. CASA deposits accounted for 38% of total deposits as of December 31, 2023.

As of December 31, 2023, advances amounted to Rs 3,27,057 crores, up 20% from Rs 2,72,754 crores as of December 31, 2022. As of December 31, 2023, the gross non-performing assets (NPA) were at 1.92% of gross advances, down from 1.93% on September 30, 2023. As of December 31, 2023, net non-performing assets made up 0.57% of net advances, down from 0.57% on September 30, 2023.

As of December 31, 2023, the provision coverage ratio remained constant at 71%. For the quarter ending December 31, 2023, provisions and contingencies totalled Rs 969 crores, down 9% YoY from Rs 1,065 crores in the same period the previous year. As of December 31, 2023, there were Rs 7,242 crores in total loan-related provisions or 2.2% of the loan book.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.