Views on Bank of Baroda 1QFY2016 Results: Angel Broking

Views of Mr. Vaibhav Agrawal (VP Research - Banking, Angel Broking) on Bank of Baroda 1QFY2016 Results:

"Bank Baroda reported 1QFY2016 results with PAT de-growth of 22.7% yoy to INR 1052cr. Advances growth was muted at 7% yoy, which led to 3.9% yoy growth in NII. Other income de-grew by 5.6% yoy, leading to 1.7% yoy growth in operating income. Cost to income went up to 50.3% in 1QFY2016 from 43% in 1QFY2015 as operating expenses grew by 18.8%. On asset quality front, Gross NPA increased sequentially to 4.1% in 1QFY2016 from 3.7% in 4QFY2015, whereas Net NPA was 2.07% in the current quarter as compared to 1.89% in 4QFY2015. Fresh Slippages was higher at INR 1685cr as compared to INR 1358cr in 4QFY2015, which could have increased Gross NPA on qoq basis. At CMP, bank is trading at 0.7x FY2017E ABV. We have NEUTRAL rating on this stock."

Shares of BANK OF BARODA was last trading in BSE at Rs.177.4 as compared to the previous close of Rs. 168.4. The total number of shares traded during the day was 1912827 in over 17670 trades.

The stock hit an intraday high of Rs. 179.8 and intraday low of 166. The net turnover during the day was Rs. 332941591.

Source : Equity Bulls

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