Bandhan Bank’s September-quarter results triggered sharp cuts in earnings estimates and target prices, as analysts flagged an all-round miss across key parameters. The bank’s performance was among the weakest in the sector, marked by a steep decline in net interest margin and elevated credit costs. One brokerage noted that if not for lower operating expenses, the lender could have reported a loss for the quarter. Advertisement

"In our view, the stock will see an overhang in the near-to-medium term due to the following reasons: 1) Asset quality of the EEB (Emerging Entrepreneurs Business) portfolio will be a key watch. 2) Margins will be under pressure due to lower loan growth, business mix change toward secured assets, and cut in lending rates. We maintain ‘HOLD’ on the stock," Nirmal Ba

See Full Page