Last week, there was strong selling pressure on IDFC First Bank’s shares ahead of the release of the Q2 results 2024 on Saturday. The price of IDFC First Bank’s shares plummeted from about ₹71.55 per share on the NSE to ₹65.57 per share during the last five sessions, resulting in a weekly loss of more than 8%.
Experts in the stock market predict that IDFC First Bank will have solid Q2 results in 2024, but that high provisioning may cause a decline in net profit. Advances and deposits at the bank are anticipated to increase, but a rise in provisions could cause the net profit to decline both year over year and on a quarterly basis. According to them, ₹61 is the immediate support level for IDFC First Bank shares, while ₹76 is the immediate resistance level.
IDFC First Bank Q2 results in 2024 preview
On market estimates regarding IDFC First Bank’s Q2 results 2024, Axis Securities said, “IDFC First Bank’s advances and deposit growth momentum is looking strong. The private lender’s NII growth will remain healthy, and NIMs could see a slight moderation QoQ. However, Asset Quality could witness slight deterioration due to appreciation in the credit cost during the July to September 2024 quarter.”
According to Axis Securities, IDFC First Bank may record a 4.30 per cent increase in NII on a Q-o-Q basis, while the July to September 2024 quarter may see a 24% YoY increase in NII data. According to the broking, IDFC First Bank’s provisions might rise by around 117% year over year, while they might increase by 15.40% sequentially. The bank’s net profit can be impacted by this increase in provisions.
IDFC First Bank share price target
Sugandha Sachdeva, the founder of SS WealthStreet, discussed the prognosis for IDFC First Bank shares, saying, “IDFC First Bank shares have immediate support placed at ₹61 whereas it is facing immediate hurdle at ₹76. On breaching below ₹61, we may see the scrip going down to ₹52 apiece level. Likewise, breaking above rs 76, IDFC First Bank’s share price may touch the ₹84.50 per share mark. So, IDFC First Bank shareholders are advised to hold the scrip, maintaining a stop loss at ₹61 apiece. Fresh investors are advised to wait for a breakout above ₹76 on a closing basis.”