Axis Bank hits lifetime high; zooms 80% in 2014

Analysts at Angel Broking maintain 'Buy' rating on the stock with a target price of Rs 501.

Shares of Axis Bank has moved higher by nearly 3% to Rs 472, also its record high on the National Stock Exchange (NSE).

Shares of the private sector lender outperformed the market by surging 82% from Rs 260 so far in current calendar year 2014, compared to 32% rise in CNX Nifty. The banking index Bank Nifty gained 52% during the same period.

Since October 17, the stock rallied 17% after reported a good set of numbers for 2QFY2015 with an earnings growth of 18.2% yoy at Rs 1,611 crore, mainly on account of healthy growth in net interest income.

Management indicated loan book growth to above industry growth as the bank would continue to focus on retail book followed by corporate and SME.

Going forward, the bank will continue to focus on retail loans and will change its retail loans mix to a higher return business. With improvement in the economic environment, it is well positioned to grow by at least a few percentage points higher than the average industry growth rate, said Vaibhav Agrawal and Umesh Matkar analysts at Angel Broking in a report dated October 20.

Analysts maintain ‘Buy’ rating on the stock with a target price of Rs 501.