Motilal Oswal, a brokerage firm, has recommended investing in shares of Union Bank of India. In the past six months, the bank’s shares have provided investors with a return of over 55%. The bank’s credit growth is strong and its interest income has also increased significantly. The stock outlook for Union Bank of India is currently positive, and experts predict that its shares could reach a price of Rs. 130 in the coming days. The bank’s shares closed at Rs. 110 on Friday, December 1, 2023, showing a 1.67% increase. With this price, experts believe that the shares could see a further 20-21% growth.
According to the brokerage firm, Union Bank of India, a government bank, has a strong business performance and is focusing on profitability. The bank’s management board has taken several positive steps to improve underwriting standards and increase deposits along with credit. They have also focused on resolving NPAs and bad loans. The bank’s performance has been positive in recent quarters, with increased revenue from strong NII, good margins, and other sources. The bank has also seen a reduction in its NPA and a recovery in its asset quality. In the future, Union Bank of India will focus on improving its credit growth. It is expected to achieve a 12% growth in its loan asset network in the financial year 2024-26 and a RoA/RoE of 1.2%/17.3% by 2026.
Stocks To Buy on 1 December 2023:
1. Union Bank of India (UBI) ★Motilal Oswal brokerage firm has recommended investing in UBI shares as it has provided more than 55% returns to its investors in the past six months. The bank’s credit growth is strong and there has been a significant increase in interest income. The stock’s outlook is currently positive and it closed at INR 107.80 on Thursday, 30 November 2023.
2. Union Bank of India (UBI) ★According to market experts, UBI shares could touch INR 130 in the coming days. On 28 November 2023, the bank’s shares closed at INR 108 and experts believe that the stock could see a 20-21% increase from this level. UBI shares have grown by 35% in 2023 and have provided more than 55% returns to investors in the past six months.
3. Union Bank of India (UBI) ★Motilal Oswal brokerage firm suggests that UBI’s business performance is strong and the bank is focusing more on profitability. The bank’s management has taken several positive steps to improve underwriting standards and increase deposits along with credit improvement. The management has also focused on resolving NPA and bad loans. UBI has shown positive performance in recent quarters and has recorded good revenue growth due to strong NII, good margins, and other sources. The bank’s NPA has also decreased, leading to an improvement in asset quality.
4. Union Bank of India (UBI) ★In the future, UBI will focus more on improving bank credit growth. It is expected to achieve a 12% growth in its loan book by the fiscal year 2024-26. The bank aims to achieve a RoA/RoE of 1.2%/17.3% by the fiscal year 2026.
Please note that this information is based on the given news title and it is always recommended to do thorough research and consult with a financial advisor before making any investment decisions.
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