Buffet way of investing in indian market

[TIMING BIRD]

Our aim is to identifying a good business managed by good people, paying the Right Price for the stock and having the patience to hold on to such investments for a period of time.

 

[TIMING BIRD]

HDFC BANK IS A CHERRY PICK
GOOD SHARE

SWOT analysis of HDFC BANK'S latest Quarterly result

STRENGTH

HDFC BANK Q1 FY-16 Profit after tax is 26.9bn up 20.7%
Net Interest Income(NII) UP 23% Y-OY on above average loan growth.
Superior NIM(Net interest margin) of 4.3%
Core fee income spurred revenue momentum
CASA(Current account saving account) spurt continued to be on track (up 20%y-o-y)
Gross non-perfoming loans-0.96,Net non-performing loans-0.26 well below risk zone during this qrt.
Healthy outstanding flouting provision (over15bn) and robust coverage ratio of >70% lends comfort.


WEAKNESS

Operating expense continued to surge with 26% y-o-y growth inturn restricting core profitability


OPPORTUNITY

The bank's best -in class liabilities franchise, marginal stress baggage & growth ammunition place it in a sweet spot to capitalize on waning competition & emerging opportunities .
Rural/semi-urban branches &productivity improvement due to digital focus will ensure that HDFC bank maintain- above industry earning growth, which in turn will sustain superior return ratios.

THREAT
_

Since we find strength & opportunity out weight weakness & threat we place HDFC bank in
GOOD SHARE category

GOOD PRICE


According to our valuation method HDFC bank at current price level of 1088 is under-valued for its 3-5 years earning growth

GOOD TIME

We expect a favorable monetary action in next Quarter , we maintaing BUY for HDFC bank @ current level
for more information see www.timingbirb.blogspot.in

 

[DSM]

Great!! May the investing tribe increase. BTW, will you in any way be posting your analysis? It would be of help to long term investor. Am not a value investor myself, but just curious to know if this thread can get investors together for their common good.

Good luck.

Our aim is to identifying a good business managed by good people, paying the Right Price for the stock and having the patience to hold on to such investments for a period of time.

 

[Steve_1982]

Axis bank has even stronger historical fundamentals but its CMP isn't discounted enough from intrinsic value to be worth a long term buy.

 

[Einstein]

Axis bank has even stronger historical fundamentals but its CMP isn't discounted enough from intrinsic value to be worth a long term buy.

And how did you evaluate that?

 

[Steve_1982]

@Einstein, I sent you a PM regarding Axis bank's fundamental performance.