Motilal Oswal Recommends 'BUY' for Punjab National Bank (PNB) with a Target Price of ₹125. Stock closed at ₹94, projecting a potential return of up to 33%. Find out why.
PSU Stock: Amidst India-Pakistan tensions and market volatility, positive news has emerged. Prominent brokerage firm Motilal Oswal has expressed confidence in Punjab National Bank (PNB) shares, recommending a buy. The brokerage believes the stock could reach ₹125 in the coming period, representing a potential return of up to 33% from the current level.
Stock Closed at ₹94, Target Price at ₹125
PNB's share closed near ₹94 on Wednesday. Motilal Oswal has set a target price of ₹125. If this target is achieved, investors could see substantial profits. While the stock has experienced some decline in recent months, its long-term performance has been b.
Strong Growth, Reduced NPAs
The bank performed well in the fourth quarter. Net profit increased by 51.7% to ₹4,567 crore. Gross NPA and Net NPA have also decreased, improving asset quality. By March 2025, GNPA decreased to ₹44,082 crore and NNPA to ₹4,291 crore.
Why the Brokerage's Confidence?
Although the bank's Net Interest Margin (NIM) saw a slight decline, overall earnings were b. Motilal Oswal believes that the bank's growth will continue in FY25, and the share price could see good medium-term appreciation.
Advice for Investors
If you are looking for good returns with lower risk in the stock market and considering investing in a public sector bank, PNB could be a good opportunity at its current price of under ₹100. However, it is advisable to consult your financial advisor before investing.
