Views on State Bank of India 4QFY2015 Results - Angel Broking

Views of Mr. Vaibhav Agrawal (VP Research - Banking, Angel Broking) on State Bank of India 4QFY2015 Results:

"State Bank of India reported good set of numbers with PAT growth of 23.1% yoy to INR 3742cr, mainly on account of healthy growth in operating income and lower provision. Advances grew by 7.5% yoy, leading to 14% yoy growth in Net Interest income. Other income growth was healthy at 29.3% yoy, resulting in 19.2% growth in operating income. Bank made provisions to NPA to the tune of INR 4635cr, which was lower as compared to INR 4717cr in 3QFY2015 and INR 5884cr in 4QFY2014. Performance on asset quality front was commendable with Gross NPA ratio declining by 65bps qoq at 4.3% and Net NPA ratio improved by 68bp qoq to 2.1% in 4QFY2015. At CMP, stock is trading at 1.2x FY2017E ABV after adjusting INR 48 towards value of subsidiaries. We recommend ACCUMULATE rating on the stock."

Shares of STATE BANK OF INDIA was last trading in BSE at Rs.282.45 as compared to the previous close of Rs. 289.35. The total number of shares traded during the day was 9541299 in over 98205 trades.

The stock hit an intraday high of Rs. 305 and intraday low of 280.8. The net turnover during the day was Rs. 2802781945.

Source : Equity Bulls

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