Motilal Oswal has maintained its rating on DCB Bank with a ‘Buy’ call and a target price of ₹150. The brokerage highlights the bank’s steady growth outlook and attractive valuations as key investment considerations.
Performance Highlights:
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Income Growth: A healthy 22% CAGR in total income is expected over FY25-27, supported by stable loan growth and resilient margins.
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Net Interest Margin (NIM): The bank is projected to maintain a NIM of 3.4%, reflecting efficient interest income management.
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Return on Assets (RoA): An improvement in RoA to 1% is anticipated, indicating enhanced profitability.
Trading at 0.52x FY26E Book Value, DCB Bank presents an attractive investment opportunity, according to Motilal Oswal’s analysis.
