India's Bandhan Bank jumps after Q2 profit rises

Bandhan Bank

28/10/2024 04:39

** Shares of Bandhan Bank Ltd  BANH.NS  rise as much as 9.7%
to 184.48 rupees
    ** Private lender reported a 30% y/y rise in Q2 net profit
to 9.37 bln rupees; Q2 interest earned rose 22.4% 
    ** Jefferies says BANH beat est., quality of MFI
(microfinance) loans has held-up well; confirming assessment
bank can outperform peers in this MFI-cycle; maintains "buy"
    ** Adds, cut earnings estimates by 1-4% to factor tad lower
NIMs, higher credit costs for FY25-27; Partha Sengupta's
appointment as CEO should bode well for performance and investor
comfort
    ** BANH profit growth mainly led by higher other income and
lower than expected provisions – better than some peers that
posted sharp earning downgrades; retains "reduce" - Emkay
    ** Mean rating of 27 brokerages rating the stock is "buy";
their median PT is 218.50 rupees - LSEG data
    ** BANH last up 8%; down 24.7% YTD so far

 (Reporting by Meenakshi Maidas in Bengaluru)
 ((meenakshi.maidas@thomsonreuters.com;))