The third largest private bank of India, Axis Bank, as of 16th March 2024 is trading at Rs.1,036 with a market cap of Rs.3,22,883 Crore. Among the top 5 private Indian banks, Axis Bank’s P/E ratio is the lowest, making it available at an attractive valuation. Does this make Axis Bank a great investment in 2024? Let’s find out.
Investors are continually looking for promising equities that offer appealing returns as the financial markets continue to change and adapt to shifting economic environments. Axis Bank, a major player in India’s banking industry, is one such stock that has gained attention recently. YTD the Axis Bank stock price is up 4.29%. Axis Bank is prepared to offer good performance in the upcoming years because of its history of consistent growth and strong financials.
This article will examine if Axis Bank is a solid bank stock to buy for investors aiming to expand their portfolios by looking more closely at their share price goal for the years 2024 to 2030.
Axis Bank Q3 FY24 Financial Summary
- Net Interest Income (NII): Anticipated to grow by 9.5% YoY, reaching Rs 12,555 crore.
- Net Profit: Expected to increase by 4.4% YoY, totaling Rs 6,114 crore.
- Share Performance: Axis Bank shares exhibited a robust 6% surge in the October-December period, outperforming the Bank Nifty index.
- Net Interest Margins (NIMs): Estimated to contract to 4.1% in Q3FY24, indicating a 16 bps decline from Q3FY23.
- Asset Quality: Projections suggest an improvement in gross NPAs to 1.7% from 2.4% YoY, with net NPAs expected to decrease to 0.4%.
- Deposit Growth: Deposits are likely to see an 18% YoY growth, reaching Rs 10.1 lakh crore.
- Loan Growth: Anticipated loan growth of 22% YoY to Rs 9.3 lakh crore, primarily propelled by the retail segment.
Below are the trading platforms that you can use to purchase Axis Bank shares:
➤ Zerodha
➤ Upstox
➤ Groww
➤ AngelOne
➤ ICICIDirect
| When | Maximum Price | Minimum Price |
| March 2024 | 1,059.30 | 921.13 |
| April 2024 | 1,028.45 | 894.30 |
| May 2024 | 1,013.25 | 881.09 |
| June 2024 | 1,049.72 | 912.80 |
| July 2024 | 1,039.23 | 903.68 |
| August 2024 | 1,080.80 | 939.82 |
| September 2024 | 1,124.03 | 977.42 |
| October 2024 | 1,101.99 | 958.25 |
| November 2024 | 1,146.07 | 996.58 |
| December 2024 | 1,157.53 | 1,006.55 |
In March 2024, the maximum price for Axis Bank is expected to reach ₹1,059.30, while the minimum price is forecasted to be around ₹921.13. As we progress into April, Axis Bank’s maximum price is projected to decrease slightly to ₹1,028.45, with the minimum price also experiencing a slight decline to ₹894.30. Throughout the following months, Axis Bank’s maximum and minimum prices are anticipated to fluctuate, with December 2024 marking a peak, as the maximum price is expected to reach ₹1,157.53 and the minimum to be ₹1,006.55.
| When | Maximum Price | Minimum Price |
| January 2025 | 1,158.69 | 891.30 |
| February 2025 | 1,161.01 | 893.08 |
| March 2025 | 1,185.39 | 911.84 |
| April 2025 | 1,162.15 | 893.96 |
| May 2025 | 1,128.30 | 867.92 |
| June 2025 | 1,179.07 | 906.98 |
| July 2025 | 1,155.95 | 889.19 |
| August 2025 | 1,191.70 | 916.69 |
| September 2025 | 1,206.00 | 927.70 |
| October 2025 | 1,237.36 | 951.82 |
| November 2025 | 1,268.29 | 975.61 |
| December 2025 | 1,325.37 | 1,019.51 |
Throughout 2025, Axis Bank’s price journey appears to be dynamic. In January, we expect the maximum price to hit ₹1,158.69, while the minimum could be around ₹891.30. February might see slight stability with the maximum price around ₹1,161.01 and the minimum at ₹893.08. As the months unfold, we anticipate fluctuations, but by December, there’s a notable surge with the maximum price potentially reaching ₹1,325.37 and the minimum around ₹1,019.51, showcasing potential opportunities for investors.
| When | Maximum Price | Minimum Price |
| January 2026 | 1,365.13 | 1,050.10 |
| February 2026 | 1,400.13 | 1,077.02 |
| March 2026 | 1,454.74 | 1,119.03 |
| April 2026 | 1,426.21 | 1,097.09 |
| May 2026 | 1,384.67 | 1,065.13 |
| June 2026 | 1,446.98 | 1,113.06 |
| July 2026 | 1,418.61 | 1,091.24 |
| August 2026 | 1,462.48 | 1,124.99 |
| September 2026 | 1,513.67 | 1,164.36 |
| October 2026 | 1,553.03 | 1,194.64 |
| November 2026 | 1,591.85 | 1,224.50 |
| December 2026 | 1,631.65 | 1,255.11 |
| When | Maximum Price | Minimum Price |
| January 2027 | 1,664.28 | 1,280.22 |
| February 2027 | 1,706.96 | 1,313.04 |
| March 2027 | 1,773.53 | 1,364.25 |
| April 2027 | 1,738.75 | 1,337.50 |
| May 2027 | 1,688.11 | 1,298.55 |
| June 2027 | 1,764.07 | 1,356.98 |
| July 2027 | 1,729.48 | 1,330.37 |
| August 2027 | 1,782.97 | 1,371.52 |
| September 2027 | 1,845.38 | 1,419.52 |
| October 2027 | 1,893.36 | 1,456.43 |
| November 2027 | 1,940.69 | 1,492.84 |
| December 2027 | 1,989.21 | 1,530.16 |
| When | Maximum Price | Minimum Price |
| January 2028 | 2,028.99 | 1,560.76 |
| February 2028 | 2,081.02 | 1,600.78 |
| March 2028 | 2,162.18 | 1,663.21 |
| April 2028 | 2,119.78 | 1,630.60 |
| May 2028 | 2,058.04 | 1,583.11 |
| June 2028 | 2,150.65 | 1,654.35 |
| July 2028 | 2,108.48 | 1,621.91 |
| August 2028 | 2,173.69 | 1,672.07 |
| September 2028 | 2,249.77 | 1,730.59 |
| October 2028 | 2,308.27 | 1,775.59 |
| November 2028 | 2,365.97 | 1,819.98 |
| December 2028 | 2,425.12 | 1,865.48 |
| When | Maximum Price | Minimum Price |
| January 2029 | 2,473.63 | 1,902.79 |
| February 2029 | 2,537.05 | 1,951.58 |
| March 2029 | 2,636.00 | 2,027.69 |
| April 2029 | 2,584.31 | 1,987.93 |
| May 2029 | 2,509.04 | 1,930.03 |
| June 2029 | 2,621.95 | 2,016.88 |
| July 2029 | 2,570.54 | 1,977.34 |
| August 2029 | 2,650.04 | 2,038.49 |
| September 2029 | 2,742.79 | 2,109.84 |
| October 2029 | 2,814.10 | 2,164.69 |
| November 2029 | 2,884.45 | 2,218.81 |
| December 2029 | 2,956.56 | 2,274.28 |
| When | Maximum Price | Minimum Price |
| January 2030 | 3,015.70 | 2,319.77 |
| February 2030 | 3,093.02 | 2,379.25 |
| March 2030 | 3,213.65 | 2,472.04 |
| April 2030 | 3,150.64 | 2,423.57 |
| May 2030 | 3,058.87 | 2,352.98 |
| June 2030 | 3,196.52 | 2,458.86 |
| July 2030 | 3,133.84 | 2,410.65 |
| August 2030 | 3,230.77 | 2,485.20 |
| September 2030 | 3,343.84 | 2,572.19 |
| October 2030 | 3,430.78 | 2,639.06 |
| November 2030 | 3,516.55 | 2,705.04 |
| December 2030 | 3,604.47 | 2,772.67 |
Throughout 2030, Axis Bank’s value is projected to exhibit a dynamic trajectory, characterized by gradual upward movement and periodic fluctuations. In January, the anticipated maximum price is approximately ₹3,015.70, with the minimum hovering near ₹2,319.77. Subsequently, as the months unfold, both the maximum and minimum prices are expected to incrementally rise, culminating in December with a significant peak, potentially reaching ₹3,604.47 for the maximum and ₹2,772.67 for the minimum. These projections suggest potential opportunities for investors to capitalize on the market’s movements and make informed decisions.
Financial Condition of Axis Bank: Last 5 years
| Year | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | TTM |
|---|---|---|---|---|---|
| Revenue (Crore Rs) |
63,716 | 64,397 | 68,846 | 87,448 | 94,501 |
| Interest (Crore Rs) |
37,996 | 34,627 | 34,923 | 43,389 | 47,796 |
| Expenses + (Crore Rs) |
35,976 | 32,621 | 31,207 | 18,501 | 34,039 |
| Financing Profit (Crore Rs) |
-10,256 | -2,851 | 2,716 | 25,558 | 12,666 |
| Financing Margin % | -16% | -4% | 4% | 29% | 13% |
| Other Income + (Crore Rs) |
16,342 | 13,577 | 17,262 | 6,209 | 8,264 |
| Depreciation (Crore Rs) |
806 | 976 | 1,049 | 13,146 | 0 |
| Profit before tax (Crore Rs) |
5,280 | 9,750 | 18,929 | 18,621 | 20,930 |
| Tax % | 64% | 26% | 25% | 42% | – |
| Net Profit + | 1,879 | 7,252 | 14,207 | 10,919 | 12,630 |
| EPS in Rs | 6.57 | 23.49 | 45.99 | 35.16 | 40.74 |
| Dividend Payout % | 0% | 0% | 2% | 3% | – |
In the last 5 years, the Axis bank has seen steady growth in revenue, reaching 94,501 crores in the TTM period. However, the interest expenses and other costs have also increased during this time. The financing profit has shown fluctuations but overall has improved significantly in the TTM period with a margin of 13%.
Other income has contributed positively to the bank’s profits. The tax percentage has varied, impacting the net profit figures. Axis Bank has been maintaining a dividend payout, which increased gradually in recent years. These financials indicate the bank’s efforts to grow and navigate through a changing financial landscape while continuing to reward shareholders through dividends.
FAQS
As of 16th March 2024, the share price of Axis Bank is INR 1,046.
The maximum share price target for Axis Bank in 2024, is INR 1,157.53.
It is highly unlikely for Axis Bank’s share price to reach 5,000 INR by 2025. However, the bank has been showing steady growth and is expected to perform well in the coming years.
What is the P/E ratio of Axis Bank?
As of 16th March 2024, the P/E ratio of Axis Bank is 12.5.
Is Axis Bank a good stock to buy?
Axis Bank has been performing well in recent years and has shown consistent growth. Based on its financial performance and prospects, it can be considered a good stock to buy.
What is the dividend payout history of Axis Bank?
Axis Bank’s dividend payout history has been relatively stable over the past five years, with dividend payout percentages ranging from 0% to 3%, indicating a consistent approach towards distributing profits to shareholders during this period.
What are the growth prospects of Axis Bank in the coming years?
Axis Bank has been expanding its business and increasing its digital capabilities, which are expected to contribute to its growth in the coming years. The bank has also been focusing on retail lending and increasing its market share in various sectors.
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Axis Bank presents itself as a promising investment opportunity in 2024, with its current share price trading attractively at ₹1,046 and a market cap of ₹3,22,883 Crore. The bank’s low P/E ratio among the top 5 private Indian banks and its consistent growth trajectory further enhance its appeal to investors. With anticipated improvements in key financial metrics such as net interest income, net profit, and asset quality, Axis Bank is poised to deliver robust performance in the coming years, potentially offering attractive returns to shareholders. Additionally, the bank’s steady dividend payout history underscores its commitment to rewarding investors while navigating through evolving market dynamics. Overall, Axis Bank emerges as a strong contender for investors looking to bolster their portfolios with a stable and growth-oriented banking stock.
What did we learn?
- 1 Axis Bank Q3 FY24 Financial Summary
- 2 How to purchase Axis Bank shares?
- 3 Axis Bank Share Price Prediction: 2024 to 2030
- 4 Financial Condition of Axis Bank: Last 5 years
- 5 FAQS
- 5.1 What is the current share price of Axis Bank?
- 5.2 What is the share price target for Axis Bank in 2024?
- 5.3 Can Axis Bank’s share price reach 5000 INR by 2025?
- 5.4 What is the P/E ratio of Axis Bank?
- 5.5 Is Axis Bank a good stock to buy?
- 5.6 What is the dividend payout history of Axis Bank?
- 5.7 What are the growth prospects of Axis Bank in the coming years?
- 6 Conclusion: Is Axis Bank share a good buy in 2024?
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