Stock to buy: Indian banks saw a strong rebound in January 2022. Banking stocks outperformed the Sensex during this period and reversed the complete underperformance of C2021. However, in the last two months, these stocks have been struggling once again due to rising commodity prices and global tensions. Despite this, some stocks can give great returns. These things have been said by global brokerage Morgan Stanley in its report.
Morgan Stanley has mentioned 5 banking stocks in his note which can be bought. Let us know which stock can make how much profit. Know here…
Shares of ICICI Bank will go to ₹ 980
The brokerage’s top stocks include ICICI Bank with a target price of ₹980 among large banks and Bank of Baroda (BoB) with a target price of ₹140 among mid-sized banks. Let us tell you that the latest share price of ICICI Bank is Rs 745.45. Accordingly, this stock can give a return of 32%. At the same time, the latest share price of BoB is Rs 116.20. That is, this stock can give returns of up to 21%.
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Earnings from these banking shares
Apart from ICICI Bank and BoB, the top list of global brokerage houses includes shares of Federal Bank, Axis Bank and HDFC Bank. The target price of Federal Bank share is Rs 130. The target price of Axis Bank is Rs 910 and the target price of HDFC Bank is Rs 1,800 per share. Let us inform that the latest share price of Federal Bank is Rs 98.60 i.e. according to the current share price, the bettors can get a return of about 32%.
At the same time, the latest share price of Axis Bank is Rs 783.40 and the latest share price of HDFC Bank is Rs 1610.60. That is, this banking stock can give a return of 16.16%-12% respectively.
Also read- Morgan Stanley’s ‘overweight’ tag on 2 stocks of Tata Group, also a favorite of Big Bull, big profit on betting now
What did Morgan Stanley say?
Morgan Stanley has said in its note that we expect better revenue growth in the near term with limited impact on the asset quality of Indian banks. After COVID, now the banking sector will boost once again because now the challenges have become normal. “We structurally prefer large banks, but push the pecking order with some medium-sized banks giving better risk rewards,” the note said.