Why I Like #AndhraBank : watch the clip
Andhra bank has a current market price (CMP) of 50.85 and a book value of 152.48. It has declared Gross NPAs of 16,262 crs and provisioned 8,198 crores as of Sep 16. If we assume an operating profit of 4000 crores plus for FY 16-17 and no substantial increases in Gross NPAs , the bank is generating profit enough to get it out of the blues.
A re rate on Price/ BV to even 0.50 would get the price to 76.00 . Seems like a good stock to accumulate at current and lower levels with targets of at least P/BV of 0.50 and above.
Please watch the Clip.