Federal Bank reported a YoY earnings growth of 42% in Q1 but recorded a 16 bps QoQ decline in net interest margin (NIM). Despite this, most brokerages maintain a buy rating for the stock. Kotak Equities argues that the bank is well-positioned to achieve a return on assets (RoA) of over 1.2% in the next few years.
Nomura has a Neutral view on Wipro and the price target is Rs 375. Q1 results toward the bottom end of guidance and the company missed consensus estimates, the brokerage noted. "Discretionary demand remains weak, affecting the consulting portfolio. Q2 guidance shows weakness to persist. Margin improvement unlikely in FY24," it said
In a span of one-year, Federal Bank has outperformed both Nifty and Bank Nifty. The bank has relatively stronger liability franchise compared to its peers in midcap space. JP Morgan has initiated an overweight rating on the bank s share price while setting a target price of ₹150.