Axis Bank posted its first ever quarterly loss since its listing. The asset quality worsened, the slippages rose four fold and not just that the provisions rose three fold sequentially in the fourth quarter.
Siddharth Purohit of SMC Institutional Equities share his views and outlook on the stock and its results.
“The management has taken a very bold decision of taking forward the cleaning up process of the balance sheet and a large part of the slippages for this quarter has come from the known sources,” he said.
“One should not take it in a negative way, there could be a knee-jerk reaction but I would suggest that one can start accumulating the stock at any correction,” he added.
“As of now we have an accumulate rating on the stock with a target of Rs 560,” Purohit said.
“One should start accumulating, there can be much more accumulation to the stock,” he further mentioned.