Banking stocks in focus, courtesy Q3 results

Today, four banks will be posting its quarterly earnings with the likes of Kotak Mahindra and IDFC Bank. Most of the bank results have so far been in-line with few exceptions. 

Most of the banks have performed well, the result of which led to an increase of 3 per cent in the index level last week on Nifty bank. To name a few, Induslnd, HDFC, Yes Bank posted good results, among others. Axis Bank was the only bank to have posted not so good numbers.

Over all, the banks have delivered in-line numbers with better asset quality, improvement in current and savings account ratios and good profitability. Non-performing asset (NPA) addition seems to have dropped at a fairly good rate.

All the pleasant factors relating to banks that have been seen in Nifty Bank has increased by approx. 8 per cent in the last one month, beating the benchmark indices by a large margin.

At the time of filing this report, Nifty Bank was trading with gains of 1.25 per cent at Rs 19,260.55.