Most brokerage houses are upbeat on Kotak Mahindra Bank as the lender reported 26.3 percent jump in net profit at Rs 3,495 crore for the March quarter. According a poll by CNBC-TV18, the net profit was expected at Rs 2,972.9 crore. However, the shares opened lower on Tuesday even as the bank beat Street estimates.

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Here's a look at how different brokerage houses are seeing Kotak Mahindra Bank's numbers:

Macquarie

Macquarie has maintained a 'neutral' rating on Kotak Mahindra Bank with a target of Rs 1,860 per share. It said that the profitability was strong. However, the growth was below expectations.

JPMorgan

JP Morgan has maintained a 'neutral' rating on Kotak Mahindra Bank with a target of Rs 2,070 per share. It said that the operating conditions at the bank remain in a sweet spot.

Goldman Sachs

The brokerage has maintained a 'buy' rating on the bank with a target of Rs 2,513 per share. It said that the bank had strong operational beat and market share gained strong RoA to drive up RoEs. Bank delivered a sector leading core PPoP and PAT growth, ahead of consensus, it said. The brokerage further sees that net interest margins (NIMs) will unlikely drop below 5 percent.

"The asset quality remains fairly strong and there is no major concern. The bank's appetite to take on more risk has improved. Now, bank is also open to any inorganic expansion, including IDBI Bank. Digital would be a big focus for them," it said.

Morgan Stanley

The brokerage has kept 'equal-weight' rating on the bank, with a target at Rs 2,215 per share. The brokerage said that the asset quality, loan growth and margin have been strong and operation leverage has now picked up. However, it added that capital market trends were subdued and it expects earnings to remain strong amid a good macro environment.

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CLSA

CLSA downgraded its rating on Kotak Mahindra Bank from 'outperform' to 'buy' with a target of Rs 2,150 per share. It said that the bank's compounding growth story and sharp move drives the downgrade.

Jefferies

The brokerage has maintained 'buy' rating, with a target at Rs 2,400 per share. It said that wider NIMs, high growth in unsecured loans and strong asset quality were positives, but decline in core savings deposit and weaker earnings for most subs were disappointing. It believes that pick-up in core deposit growth is key to lifting loan growth.

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First Published:May 2, 2023 10:47 AM IST