An Indian private sector bank IDFC FIRST Bank provides a variety of financial services and products to its clients. Once IDFC Bank and Capital First merged in 2018, the bank was created. Via its digital platforms and physical offices, IDFC FIRST Bank seeks to offer its customers seamless banking experiences with a strong emphasis on customer-centricity and innovation.
Savings accounts, current accounts, fixed deposits, loans, credit cards, insurance, and investment services are just a few of the goods and services the bank provides. With its online banking portal and mobile banking app, IDFC FIRST Bank also has a significant presence in the digital banking sector. These features enable users to conduct a variety of transactions and access a wide range of banking services.
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IDFC FIRST BANK IN RECENT NEWS
- IDFC First Bank of India asserts that the merger will enhance credit expansion.
- FPIs (Foreign Portfolio Investors) have recently increased their investments in firms such as IDFC First Bank.
- IDFC First Bank witnesses a substantial year-on-year growth of 24.5% in loans and advances, while deposits surge by more than 44%. Consequently, the bank’s stock concludes with a 2% increase.
HOW TO BUY IDFC FIRST BANK SHARES?
Here is a list of trading platforms where you can buy shares of IDFC First Bank:
IDFC FIRST BANK SHARE PRICE TARGET 2023
|IDFCE BANK SHARE PRICE TARGET 2023||Maximum Price||Minimum Price|
IDFC FIRST BANK’s share price is expected to follow a promising bullish uptrend throughout 2023. The maximum share price is projected to reach ₹86.76 in December 2023, while the minimum price is expected to be ₹81.95 in July 2023. This represents a notable growth percentage and indicates positive investor sentiment for IDFC FIRST BANK.
Overall, the consistent increase in the maximum share price month after month suggests a positive outlook for IDFC FIRST BANK in 2023. While there may be some fluctuations in the share price along the way, the overall trend indicates a promising future for the bank. Investors and traders may want to keep a close eye on IDFC FIRST BANK’s share price movement throughout 2023 to capitalize on potential gains from this bullish uptrend.
IDFC FIRST BANK SHARE PRICE TARGET 2024
|IDFC BANK SHARE PRICE TARGET 2024||Maximum Price||Minimum Price|
IDFC FIRST BANK’s share price is expected to follow a bullish uptrend in 2024. The maximum share price is projected to reach ₹103.59 in December 2024, while the minimum price is expected to be ₹53.68 in May 2024. This represents a notable range for potential price targets, indicating that investors may be able to take advantage of potential gains throughout the year.
Furthermore, the consistent increase in the maximum share price over the months suggests a positive outlook for IDFC FIRST BANK in 2024. Although there may be some fluctuations in the share price along the way, the overall trend indicates a promising future for the bank. Investors and traders should keep an eye on IDFC FIRST BANK’s share price movement throughout 2024 to make informed investment decisions and potentially benefit from this bullish uptrend.
IDFC FIRST BANK SHARE PRICE TARGET 2025
|IDFC BANK SHARE PRICE TARGET 2025||Maximum Price||Minimum Price|
Looking at the predicted IDFC FIRST BANK share price target for 2025, it seems to be on an upward trajectory. The share price is expected to have a maximum target of ₹125.66 and a minimum target of ₹72.92 for the year. The bullish trend is expected to continue in 2025, with the share price reaching a maximum of ₹123.19 in November. The trend is expected to continue in December, with the share price reaching ₹125.66, indicating a growth percentage of around 17% from the minimum price. However, the share price is expected to dip in May, with a minimum price target of ₹72.92. Overall, investors can expect an uptrend in the share price of IDFC FIRST BANK in 2025, making it a promising investment option.
IDFC BANK SHARE PRICE TARGET 2026 TO 2030
|IDFC BANK SHARE PRICE TARGET BY||Maximum Price||Minimum Price|
Based on the above data, IDFC FIRST BANK’s share price target for the year 2026 is estimated to be in the range of ₹87.96 to ₹61.57, with a maximum and minimum price of ₹87.96 and ₹61.57, respectively. Similarly, for the year 2027, the share price target is expected to be in the range of ₹74.77 to ₹52.34, with a maximum and minimum price of ₹74.77 and ₹52.34, respectively.
The share price target for the year 2028 is expected to increase significantly to be in the range of ₹134.58 to ₹94.21, with a maximum and minimum price of ₹134.58 and ₹94.21, respectively. In 2029, the share price target is expected to see a substantial increase with a maximum and minimum price of ₹276.45 and ₹193.51, respectively.
Finally, for the year 2030, the share price target is expected to be in the range of ₹307.86 to ₹215.50, with a maximum and minimum price of ₹307.86 and ₹215.50, respectively.
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FINANCIAL STRENGTH OF IDFC FIRST BANK SHARE PRICE (2019 TO 2023)
|Year||Mar 2019||Mar 2020||Mar 2021||Mar 2022||Mar 2023|
|Financing Margin %||-10%||-23%||-8%||-15%||-5%|
|Other Income +||824||1,722||2,211||3,173||4,467|
|Profit before tax||-3,237||-2,346||519||175||3,331|
|Net Profit +||-1,908||-2,843||483||132||2,485|
|EPS in Rs||-3.99||-5.91||0.85||0.21||3.75|
|Dividend Payout %||0%||0%||0%||0%||0%|
Over the five-year period from March 2019 to March 2023, the company demonstrated commendable revenue growth, with sales increasing from 12,204 to 22,728. This consistent upward trend indicates the company’s ability to generate higher revenues over time. However, the company faced significant challenges in terms of profitability, as reflected in the negative financing profit and financing margin percentages during multiple years. These indicators suggest that the company struggled to manage its financial costs and generate sufficient profits from its core operations.
Despite the profitability challenges, the company managed to mitigate some of the adverse effects through other income sources, which experienced growth from 824 to 4,467. This diversification of income streams played a role in bolstering the company’s overall financial position. However, it is worth noting that the company encountered losses in the fiscal years ending in March 2019 and March 2020, indicating periods of financial difficulty.
Nevertheless, the company showcased resilience and improvement, as evident in the positive net profit of 2,485 in March 2023. This marked a significant recovery from the negative net profits observed in March 2019 and March 2020. Additionally, the earnings per share (EPS) also showed improvement, rising to 3.75 by the end of the period. The company’s decision not to pay dividends during these five years may have been driven by the need to reinvest profits to address profitability challenges and support future growth initiatives. Going forward, the company will need to focus on managing costs, enhancing profitability, and sustaining revenue growth to create value for its shareholders.
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IDFC FIRST BANK SHARE RPICE TARGET BY EXPERTS:
- ICICI Direct recommends purchasing shares of IDFC First Bank with a target price of Rs 86.2.(July 27,2023).
- CLSA downgrades IDFC First Bank to ‘underperform’ and sets a target price of INR 85.00.(june 22,2023)
- Religare Broking suggests buying IDFC First Bank with a price projection range of Rs 64 to Rs 70.(May 9,2023)
The maximum share price target of IDFC First Bank in 2027 is Rs. 74.77
The maximum share price target of IDFC First Bank in 2029 is Rs. 276.45
The maximum share price target of IDFC First Bank in 2030 is Rs. 307.86
POINTS TO CONSIDER WHILE INVESTING IN IDFC FIRST BANK SHARES:
- The company is anticipated to have a promising quarter ahead.
- Over the last 5 years, the company has demonstrated commendable profit growth, achieving a CAGR of 23.0%.
- Despite consistent profitability, the company has not been distributing dividends to its shareholders.
- The company’s interest coverage ratio is low, suggesting potential challenges in meeting interest obligations on its debts.
- The return on equity (ROE) for the past 3 years has been relatively low, standing at 5.40%.
- The company carries significant contingent liabilities amounting to Rs. 2,15,754 Cr.
- The reported earnings include a substantial other income of Rs. 4,467 Cr.
CONCLUSION: IDFC FIRST BANK
IDFC FIRST BANK has had tremendous growth in terms of total income, revenue growth, and profit growth based on the financial statements of the previous five years. The bank’s overall revenue has risen yearly, with a growth rate of 11.65% in the most recent fiscal year. However, because of increasing provisions and contingencies, the bank experienced a loss in the fiscal year 2022. Although the bank’s PAT growth rate was negative in the fiscal year 2022, it had greatly improved from the fiscal year 2020’s negative growth rate. The net profit margin of the bank has also dramatically increased from fiscal year 2020 to 2022.
The expert views on IDFC First Bank’s growth and performance are mixed, with CLSA downgrading the stock to ‘underperform’ and setting a target price of INR 85.00, while Religare Broking suggests buying with a price projection range of Rs 64 to Rs 70. As an investor, it’s important to carefully consider these differing opinions and conduct further research to make well-informed decisions regarding the bank’s potential for growth and performance in the future. Monitoring the company’s financial performance and industry trends will be essential in determining the bank’s prospects and overall investment strategy.
Suhani Bhat, a student of Hansraj college, is a finance writer who takes deep interest in stock market, mutual funds, and other financial news. She writes for multiple finance blogs, including Financegradeup.com. Other than English, she also speaks Hindi.