Synopsis: Jefferies maintains a Buy rating on Axis Bank with a target price of ₹1,700, citing strong deposit growth, improving asset quality, and healthy lending momentum.
This Private Sector Bank Stock, engaged in providing retail, corporate, and investment banking services, along with wealth management, treasury, digital banking, and financial solutions across India and international markets, is in focus after Jefferies gave a Buy target of Rs. 1,700, which has an upside potential of 30.87 percent.
With a market capitalization of Rs. 4,04,090.08 crore, the shares of Axis Bank Limited closed at Rs. 1,299 per equity share, down nearly 0.95 percent from its previous day’s close price of Rs. 1,311.40.
What is the News?
Jefferies, a prominent brokerage firm, has recommended a “Buy” call on Axis Bank Limited with a target price of Rs. 1,700 per share, indicating an upside potential of 30.87 percent from its current price of Rs. 1,299 per share.
Jefferies has maintained its Buy rating on Axis Bank because it expects the bank to deliver steady growth with improving fundamentals. Deposits have grown better, mainly due to higher contributions from corporate and institutional customers, while loan growth has been supported by corporate and SME lending. Retail loan disbursements are also showing signs of recovery.
The bank’s core asset quality continues to improve, indicating lower stress in its loan book. Although there could be some challenges related to priority sector lending (PSL) in FY27, Jefferies believes Axis Bank remains one of its preferred banking stocks due to its strong growth outlook.
Branch Network
Axis Bank has a strong and well-distributed branch network across India. The number of domestic branches increased from 4,758 in March 2022 to 6,275 in March 2026, showing steady growth. Around 31 percent of branches are in metro cities, 28 percent in semi-urban areas, 22 percent in urban areas, and 19 percent in rural areas. This wide network helps the bank serve customers across different regions.
Business Highlights
Axis Bank is the third-largest private sector bank in India. It serves around 54 million customers through a network of 6,275 branches across the country. The bank has more than 1,01,300 employees, helping provide banking services to individuals, businesses, and corporate customers.
Axis Bank has a strong position in both traditional and digital banking. It holds a 5.3 percent market share in assets, 5.0 percent in deposits, and 5.7 percent in advances. In digital banking, the bank accounts for around 36 percent of UPI transactions and 14 percent of credit cards, reflecting its growing digital presence in India.
Company Overview
Axis Bank Limited is one of India’s largest private sector banks, offering retail, business, corporate, and digital banking services along with wealth management and treasury operations. It has a nationwide branch and ATM network, serves millions of customers, and is regarded as a major participant in India’s banking and financial services industry.
Recent Quarter Results
Coming into financial highlights, Axis Bank Limited’s Net Interest Income has increased from Rs. 14,331 crore in Q4 FY25 to Rs. 15,091 crore in Q4 FY26, which has grown by 5.30 percent. The net profit has also grown by 1.90 percent from Rs. 7,489.71 crore in Q4 FY25 to Rs. 7,631.72 crore in Q4 FY26. Axis Bank Limited’s Net Interest Income and net profit have grown at a CAGR of 9.89 percent and 34.65 percent, respectively, over the last three years.
In terms of return ratios, the company’s ROCE and ROE stand at 6.24 percent and 13.1 percent, respectively. Axis Bank Limited has an earnings per share (EPS) of Rs. 84.9, and its debt-to-equity ratio is 7.51x.
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