08-17-2022, 06:15 AM
I am investing heavyly on one Indian Bank: Federal Bank
<!-- SC_OFF --><div class="md"><p>I am holding 10k shares of <a href="https://www.fednetbank.com/">federal bank</a> (it is one small indian bank) from when it was Rs. 90 or something. It is 109 today. I am getting nice return but I have a believe this share I should hold for 2 years at least. I was reading its financials and comparing with other banks (small and large cap ones) and I find Federal bank is undervalued and its actual value should be in 4 digits at least. It could be over estimation but it is my believe from what I could understand by reading its balance sheet, financial statements and analysing and comparing its loan portfolios. I liked one thing that they have distributed loans in very very small proportion which made me think it could be great to pitch as undervalued stock!! </p> <p>Overview of performance: <a href="https://www.federalbank.co.in/documents/10180/52291005/Investor_Presentation+Q2+FY+22+%282%29.pdf/3873c8c9-808b-4bf8-aa55-0fa4e1777377?t=1634888732573">https://www.federalbank.co.in/documents/10180/52291005/Investor_Presentation+Q2+FY+22+%282%29.pdf/3873c8c9-808b-4bf8-aa55-0fa4e1777377?t=1634888732573</a></p> <p>Latest news: <a href="https://www.business-standard.com/article/finance/federal-bank-s-loan-book-grows-16-3-yoy-to-rs-1-54-trillion-in-q1-122070300902_1.html">https://www.business-standard.com/article/finance/federal-bank-s-loan-book-grows-16-3-yoy-to-rs-1-54-trillion-in-q1-122070300902_1.html</a></p> <p>I am seeing it is growing very vell, where other indian banks are experiencing great struggle wiht bad debts, since it has portfolio maintained with small loans to everyone it gives stability to it and am expecting in this recovery trend in economy it will go up by huge.</p> <p>Any thoughts on it invetor buddies? Am I thinking some odd way or I could be right</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/lazystring1"> /u/lazystring1 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/wpp4cp/i_am_investing_heavyly_on_one_indian_bank_federal/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/wpp4cp/i_am_investing_heavyly_on_one_indian_bank_federal/">[comments]</a></span>
<!-- SC_OFF --><div class="md"><p>I am holding 10k shares of <a href="https://www.fednetbank.com/">federal bank</a> (it is one small indian bank) from when it was Rs. 90 or something. It is 109 today. I am getting nice return but I have a believe this share I should hold for 2 years at least. I was reading its financials and comparing with other banks (small and large cap ones) and I find Federal bank is undervalued and its actual value should be in 4 digits at least. It could be over estimation but it is my believe from what I could understand by reading its balance sheet, financial statements and analysing and comparing its loan portfolios. I liked one thing that they have distributed loans in very very small proportion which made me think it could be great to pitch as undervalued stock!! </p> <p>Overview of performance: <a href="https://www.federalbank.co.in/documents/10180/52291005/Investor_Presentation+Q2+FY+22+%282%29.pdf/3873c8c9-808b-4bf8-aa55-0fa4e1777377?t=1634888732573">https://www.federalbank.co.in/documents/10180/52291005/Investor_Presentation+Q2+FY+22+%282%29.pdf/3873c8c9-808b-4bf8-aa55-0fa4e1777377?t=1634888732573</a></p> <p>Latest news: <a href="https://www.business-standard.com/article/finance/federal-bank-s-loan-book-grows-16-3-yoy-to-rs-1-54-trillion-in-q1-122070300902_1.html">https://www.business-standard.com/article/finance/federal-bank-s-loan-book-grows-16-3-yoy-to-rs-1-54-trillion-in-q1-122070300902_1.html</a></p> <p>I am seeing it is growing very vell, where other indian banks are experiencing great struggle wiht bad debts, since it has portfolio maintained with small loans to everyone it gives stability to it and am expecting in this recovery trend in economy it will go up by huge.</p> <p>Any thoughts on it invetor buddies? Am I thinking some odd way or I could be right</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/lazystring1"> /u/lazystring1 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/wpp4cp/i_am_investing_heavyly_on_one_indian_bank_federal/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/wpp4cp/i_am_investing_heavyly_on_one_indian_bank_federal/">[comments]</a></span>