HSBC upgrades India's Kotak Mahindra Bank on improving loan growth, new CEO

Kotak Mahindra Bank

07/10/2026 05:23

 
** HSBC, rated 4 of 5 stars for overall rating accuracy, per LSEG data, upgrades rating on Kotak Mahindra Bank KTKM.NS to "buy" from "hold", raises PT to 520 rupees from 430 rupees
** Raises loan growth estimates to 21.2% CAGR over FY27-FY29 from 16.7% on strong underlying loan growth, consolidation of loan book from unit, deployment of FCNR (B) funds raised during Q2
** Anup Saha appointment as MD and CEO should be abreast of changes required for next leg of growth, earnings performance - note
** Also raises EPS estimates for FY27-FY29 by 1%-14%, on stronger loan growth, steady NIM
** Stock rated "buy" on avg by 37 analysts; mean PT 472.56 rupees - LSEG-compiled data
** KTKM down 0.3% ahead of RBI policy decision
** YTD, KTKM down 2.1% vs 13.5% fall in Nifty 50 index .NSEI

(Reporting by Vijay Malkar)
((VijayDattaram.Malkar@thomsonreuters.com;))