Share of Axis Bank Ltd is currently trading at around Rs.1045/-Existing as well as Prospective Investors are asking for Axis Bank Share Price Target 2025,2030,2035 & 2040. In this article, we will discuss about the business prospects and financial performance of Axis Bank and based on our discussion and analysis will tell you the Axis Bank Share Price Target 2025,2030,2035 and 2040
Discussion & Analysis of Business & Financial performance with future business prospects of Axis Bank Ltd:
Axis Bank Limited, one of India’s leading private sector banks, has demonstrated a mixed financial performance in recent quarters, reflecting both strengths and challenges.
Current Business Performance:
In the third quarter of the fiscal year 2024-25 (Q3 FY25), Axis Bank reported a standalone net profit of ₹6,304 crore, marking a modest 4% year-on-year (YoY) increase from ₹6,071 crore in the same period the previous year. This growth, however, fell short of analysts’ expectations, primarily due to slower loan growth and increased provisions for potential bad loans. The bank’s provisions more than doubled YoY to ₹2,156 crore, addressing rising bad debts in segments like microfinance and unsecured portfolios.
Net Interest Income (NII) grew by 8.6% YoY to ₹13,606 crore in Q3 FY25, slightly below market forecasts. The Net Interest Margin (NIM) narrowed to 3.93% from 4.01% a year earlier, indicating a tightening interest spread. Loan and deposit growth both stood at 9% YoY, with net advances reaching ₹10,14,564 crore and total deposits at ₹10,95,883 crore.
Asset quality showed a slight deterioration, with the Gross Non-Performing Asset (GNPA) ratio increasing to 1.46% from 1.44% in the previous quarter. The Net NPA ratio edged up to 0.35% from 0.34% a year earlier.
Future Business Prospects:
Axis Bank’s future prospects are influenced by several factors:
- Asset Quality Management: The bank’s increased provisioning indicates a proactive approach to potential asset quality issues. Effective management of non-performing assets will be crucial to maintain financial stability.
- Loan Growth Strategy: With a 9% YoY loan growth, the bank may need to explore strategies to accelerate lending, especially in retail and SME segments, to enhance profitability.
- Digital and Payment Services: Axis Bank continues to strengthen its position in digital banking and payment services. It remains the largest player in India’s merchant acquiring business, with a terminal market share of approximately 20%. The Axis Mobile app is highly rated, boasting around 14 million monthly active users.
Leveraging these digital platforms can drive customer engagement and revenue growth.
- Regulatory Environment: The Reserve Bank of India’s measures to curb retail loans have impacted credit growth across the banking sector. Axis Bank’s adaptability to these regulatory changes will be vital for sustaining growth.
- Economic Conditions: India’s GDP growth forecast has been revised down to 6.4% for the upcoming fiscal year, reflecting broader economic challenges. Axis Bank’s performance will be closely tied to the overall economic environment, influencing credit demand and asset quality.
In summary, while Axis Bank faces challenges such as asset quality concerns and moderated loan growth, its strong digital presence and proactive provisioning provide a foundation for future resilience. The bank’s ability to navigate regulatory changes and economic headwinds will be pivotal in shaping its business prospects.
Share Price Targets:
Axis Bank Share Price Target 2025
Based on the above discussion and analysis, the share price of Axis Bank is likely to touch the level of around Rs.1150-1250 in 2025
Axis Bank Price Target 2030
Based on the above discussion and analysis, the share price of Axis Bank is likely to touch the level of around Rs.2000-2250 in 2030
Axis Bank Price Target 2035
Based on the above discussion and analysis, the share price of Axis Bank is likely to touch the level of around Rs.3500-3750 in 2035
Axis Bank Price Target 2040
Based on the above discussion and analysis, the share price of Axis Bank is likely to touch the level of around Rs.6500-7000 in 2040
Disclaimer: Investments in Capital Market/Share Prices are subject to market fluctuations and are dependent on several factors. These predictions are based on the current market conditions and the future market expectations. Investors are advised to take into consideration all these factors before making any investment in Capital Market. This article should not be treated as Investment advisory and is for general Guidance & Educational purpose only. We keep revising our share price targets based on the latest information available with us. Please keep visiting our website regularly to keep yourself updated. MoneyInsight does not offer investment advice and does not encourage any action based on its content.
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