Unpacking the impact of potential rate cuts on Indian banks: Bernstein By Investing.com
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 28 2024
0mins
Source: Investing.com
Interest Rate Outlook in India: Analysts predict a modest rate cut cycle in India, with an expected reduction of about 50 basis points due to easing inflation and a cautious approach from the Reserve Bank of India. The impact on banks and non-banking financial companies (NBFCs) will vary based on their loan portfolios and funding structures.
Performance of Financial Institutions: HDFC Bank, IndusInd Bank, and Axis Bank are expected to perform well during the rate cut cycle, while Kotak Mahindra Bank may face significant challenges. Investors should monitor asset quality for NBFCs and deposit growth for banks as key factors influencing future performance.
Analyst Views on INBK
Wall Street analysts forecast INBK stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for INBK is 27.33 USD with a low forecast of 22.00 USD and a high forecast of 35.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
3 Analyst Rating
1 Buy
2 Hold
0 Sell
Moderate Buy
Current: 24.155
Low
22.00
Averages
27.33
High
35.00
Current: 24.155
Low
22.00
Averages
27.33
High
35.00
About INBK
First Internet Bancorp is a bank holding company, which is engaged in conducting its primary business activities through its wholly owned subsidiary, First Internet Bank of Indiana (the Bank), an Indiana chartered bank. The Bank offers a range of commercial, small business, consumer and municipal banking products and services. The Bank conducts its consumer and small business deposit operations primarily through digital channels on a nationwide basis and have no traditional branch offices. Its consumer lending products are primarily originated on a nationwide basis through relationships with dealerships and financing partners. The Bank's commercial banking products and services are delivered through a relationship banking model and include commercial and industrial (C&I) banking, construction and investor commercial real estate, single tenant lease financing, public finance, healthcare finance, small business lending, commercial deposits, and treasury management.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
