Axis Bank quarterly result effect: Buy this stock, say market experts
Axis Bank shares are bullish from both fundamental and technical perspective and its quarterly results have further fuelled the bulls' sentiments on Dalal Street.
Axis Bank shares are expected to show an upward trend both in short-term and in the long term, stock market experts are betting. The Dalal Street experts are of the opinion that quarterly results have further cemented the fundamentals of the banking stock but in coming one to two trade sessions the banking major may show some correction and touch around Rs 730-735 per stock levels from its current price of Rs 741. They suggest stock market investors to adopt 'buy on dips' strategy in regard to the Axis Bank share price for the short-term target of Rs 800 per stock levels.
Speaking on the fundamentals supporting the bulls in regard to the Axis Bank scrip at the India stock market Prakash Pandey, Head of Research at Fairwealth Securities said, "The Axis Bank quarterly results are in sync with the market expectations and the FIIs have already pumped a huge amount into the banking sector in March 2019. FII invested near Rs 34,000 crores in the Indian stock market out of which around 50 per cent of it has gone to the banking stocks and out of the net FII investment into the Indian banking shares, near 75 per cent of it has gone to four banks only and Axis Bank is one of them." Other three banks are ICICI Bank, Kotak Mahindra Bank and HDFC Bank, said Prakash Pandey.
On his suggestion to the stock market investors in regard to the Axis Bank shares Prakash Pandey said, "Currently, the Axis Bank shares are oscillating around Rs 740/stock levels and I am expecting some more correction into the banking scrip as the market is expected feel some more profit booking in next one to two sessions, especially metals and banking. So, I would recommend stock market investors to take buy position in the Axis Bank shares at around Rs 730/stock levels for the short-term target of Rs 780 maintaining stop-loss at Rs 718/stock levels."
Asked about the technicals of the Axis Bank shares Rohit Singre, Senior Technical Research Analyst at LKP Securities said, "Technically, the Axis Bank is in rising trend line. Any correction in the counter should be taken as a buying opportunity rather getting panic by the dip in Axis Bank shares. In the short-term perspective, the counter seems bullish but in coming to a few trading sessions, we can witness some correction in the banking major. I suggest stock market investors adopt buy on dips strategy in regard to Axis Bank counter." On his suggestion to the stock market investors in regard to Axis Bank share price Singre said, "An investor can take a buy position in the Axis Bank scrip at around Rs 720 to Rs 725 per stock levels taking stop loss at Rs 700 for an immediate target of Rs 750 and Rs 800 per stock levels."
Therefore, a stock market investor can expect around 10 per cent return in two to three months post-investment Axis Bank shares.