Business · India Bureau
IDFC First Bank shares surge on Motilal Oswal buy rating upgrade
Shares of IDFC First Bank gained over 3 percent following an upgrade by brokerage Motilal Oswal, which shifted its stance to 'Buy' from 'Neutral' with a revised target price of Rs 105 per share.
LSN India ·
IDFC First Bank's stock performance received a boost in trading as Motilal Oswal elevated its investment recommendation on the lender to 'Buy' status. The upgraded rating marked a shift from the brokerage's previous 'Neutral' stance on the bank's shares.
The brokerage has set a target price of Rs 105 per share, based on a valuation multiple of 1.6 times forward year fiscal 2028 estimated adjusted book value (ABV). This valuation framework suggests potential upside from current levels for investors willing to accumulate positions in the bank.
The upgrade reflects improved sentiment toward IDFC First Bank among equity research analysts tracking the financial services sector. Such rating changes from major brokerages often influence investor sentiment and can trigger short-term price movements in actively traded stocks like IDFC First Bank.
IDFC First Bank, formed through the merger of IDFC Limited's banking operations with erstwhile Capital First Limited, has been working to strengthen its balance sheet and expand its loan portfolio across retail and corporate segments. The bank's performance metrics have been closely watched by the investment community as it pursues profitability targets.