equitas
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
- Growth momentum continues
- Diversified and de-risked book
- Credit-to-deposit ratio moderating with deposits picking up
- Margin weakens, but medium-term upside seen
- Asset quality weakens, guidance positive
- Headroom for RoA expansion and stock upside
Equitas Small Finance Bank (CMP: Rs 94, Market Cap: Rs 10,701 crore) has underperformed the broad Nifty index in the past six months with a return of 7 percent, against an 11 percent by Nifty, despite resilient growth and positive outlook on margin. Is the current consolidation therefore an opportunity?
Growth