Cup and Handle Breakout supported by Fundamentals
FY24 EPS 21.11(Q4 EPS 6.4), PE 10 and Book value is 170 and PB 1.25
From Q1 of FY25 the company will post min EPS of Rs 6.4/Qtr, even if we consider 25% growth its annual EPS would be 6.4*4*1.25 = 32 Rs/share
FY25 valuation at CPM of 212 would be EPS 32, PE 6.6, Book value 200 and PB 0.94
therefore as per FY25 estimation minimum price at which it must trade would be,
1.5 times PB = 300 (200*1.5)
10 times PE = 320 (32*10)
Target 1 = 246
Target 2 = 310
Q4 results ,
G.NPA would be 242cr vs 223cr (2.8% vs 3.06%)
N.NPA would be 92cr vs 102cr (1.4% vs 1.42%)
Provision would be 150cr vs 121cr (PCR - 62% vs 54%)
From Q1 of FY25 the company will post min EPS of Rs 6.4/Qtr, even if we consider 25% growth its annual EPS would be 6.4*4*1.25 = 32 Rs/share
FY25 valuation at CPM of 212 would be EPS 32, PE 6.6, Book value 200 and PB 0.94
therefore as per FY25 estimation minimum price at which it must trade would be,
1.5 times PB = 300 (200*1.5)
10 times PE = 320 (32*10)
Target 1 = 246
Target 2 = 310
Q4 results ,
G.NPA would be 242cr vs 223cr (2.8% vs 3.06%)
N.NPA would be 92cr vs 102cr (1.4% vs 1.42%)
Provision would be 150cr vs 121cr (PCR - 62% vs 54%)