With its larger peers busy in cleaning up their balance sheets, South-based private sector lender Federal Bank is looking at it as an opportunity to grow business and expects 15-20 per cent credit growth in the next financial
Federal Bank on Tuesday said its net profit for the July-September quarter fell 32.88% to Rs161.28 crore compared to the same period last year, even as the lender saw a considerable rise in its provisions.
Experts believe that the market may remain volatile as traders will roll over and unwind their positions in the futures & options (F&O) segment, because of scheduled derivative expiry of September month contracts on Thursday.
Trading at 1.1 times FY17E P/ABV, with RoA touching 1.4% plus and RoEs rising to 16%, the stock of Federal Bank has potential to trend towards 1.5x, implying >35% return potential. With tier-1 of 14.4%, the stock has the requ