23/4/2025, 3:48:02 pm

Buy AU Small Finance Bank; target of Rs 750: Sharekhan

AU Small Finance Bank faced challenges in FY25 due to higher interest rates, tight liquidity, and stress in unsecured loans, though profitability and return ratios have likely bottomed out. Q4 earnings missed estimates due to provisioning, but asset quality improved with declining slippages. Sharekhan upgraded the stock to "Buy" with a target price of Rs. 750.