India's Axis Bank down after Q1 margin pressure disappoints analysts
BUZZ-India's Axis Bank down after Q1 margin pressure disappoints analysts ** Shares of Axis Bank AXBK.NS down about 5% to 1,263.5 rupees--on track for biggest % fall since December 16, 2026
** On July 18, reported Q1 net interest margin at 3.46% vs 3.80% in the year-ago period--key profitability metric for banks
** Systematix says management stated NIMs has bottomed out; brokerage revises TP to 1,570 rupees vs 1,600 rupees earlier, maintains "Buy" rating
** NIMs compressed a sharper-than-expected, dragged by seasonal agri reversals, adverse balance sheet mix, and interest spread pressure--Citi; brokerage maintains "buy", TP of 1,620 rupees
** Although NIM declined QoQ, management reiterated its structural NIM guidance of ~3.8% over the next 12-15 months with margin normalization expected to be driven by an improving balance sheet mix, lower funding costs and productivity gains--Centrum; TP reduced to 1,610 rupees vs 1,720 rupees; maintains "Buy" rating
** 36 out of 40 analysts rate the stock "buy" or higher, median TP of 1,593.50 rupees
** YTD, stock down 0.37%
(Reporting by Saikeerthi in Bengaluru)
((Saikeerthi@thomsonreuters.com; (+91) 8296756080))