Company Background :
Axis Bank is the third-largest Indian bank offering a wide assortment of financial products. The bank has its head office in Mumbai
It sells financial services to large and mid-size corporates, SME and retail businesses.
Management :
As of 30 June 2016, 30.81% shares are owned by promoters and promoter group (United India Insurance Company Limite
The remaining 69.19% shares are owned by mutual funds, FIIs, banks, insurance companies, corporate bodies and individual investors among others.
Industry Finance, banking industry, financial services
Founded 1993; 27 years ago
Headquarters Mumbai - India
Number of locations - 4800+ branches
Number of employees - 130000 (2020)
Website www.axisbank.com
Investor Returns :
The following picture captures 5 years performance of the scrip. If you observe the CMP is equal to the one that traded in 5 years ago.
From the high of Rs.800 the scrip fell to a year low of sub 300 levels and is trading 30% above the year lows.
Outlook :
The recent Q4 results were much below the street expectations and hence the scrip started falling due to higher provisioning and write off the loans. Q1 and Q2 of 20–21 are likely to be much worse due to the pandemic Coronavirus.
Avoid bottom fishing as we are expecting the scrip to test breaking 300 levels which could result in reaching 250 levels.
Swing Traders :
With a higher risk appetite investors can buy the scrip around 360 levels and exit around 450 if the market tries to stage a recovery.
Raghav