IndusInd Bank: PAT growth of 23% & Total Income growth of 17% in 9M-24 at a PE of 13 & price to book less than 2
INDUSINDBK delivered loan growth of 20% as of Q3-24 with outlook of 18-23% CAGR in loan growth till FY26. It looks on track to meet its overall FY26 guidance with 4 quarters of consecutive EPS growth
1. 5th Largest Private Bank
indusind.com | NSE: INDUSINDBK
2. FY19-23: 14% CAGR for Earnings per share
Growth delivered in FY23 only
3. Strong H1-24 : PAT up 26% & Total Income up 17% YoY
Total Income of ₹14,436 crores as compared to ₹12,370 crores for the corresponding previous half year
Net Profit was ₹4,326 crores as compared to ₹3,436 crores during corresponding previous half year increased by 26% YoY.
4. Strong Q3-24 : PAT up 17% & Revenue up 17% YoY
5. Strong 9M-24 : PAT up 23% & Total Income up 17% YoY
6. Strong & consistent return ratios
INDUSINDBK has grown its book sequentially year on year
7. Outlook: 18-23% loan growth CAGR for FY23-26
9M-24 performance on track to deliver as per targets.
8. PAT growth of 23% & Total Income growth of 17% in 9M-24 at a PE of 13
9. So Wait and Watch
If I hold the stock then one may continue holding on to INDUSINDBK
Coverage of INDUSINDBK was initiated after Q2-24 results. The investment thesis has not changed after a strong 9M-24. There is confidence that INDUSINDBK is on track to deliver a strong PAT in FY24.
INDUSINDBK has delivered a sequential EPS growth in the last 4 quarters
There is an outlook for strong loan growth till FY26 where INDUSINDBK is targeting 18-23% loan growth
10. Or, join the ride
If I am looking to enter INDUSINDBK then
INDUSINDBK has delivered a strong 9M-24 with PAT growth of 23% & revenue growth of 17% at a PE of 13 which makes the valuations reasonable in the short term.
From a longer term perspective the outlook for loan growth of 18-23% till FY26 at a PE of 13 makes the valuations reasonable.
From a price to book perspective, INDUSINDBK has a net-worth of Rs 58,841 cr on a market cap of Rs 112,221 cr implying its available at P/B of less than 2 which looks reasonable.
Previous coverage of INDUSINDBK
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