Bank Nifty has fallen more than 6% from higher levels, as both public and private sector banks have come under pressure. However, analysts at ICICI Direct believe that the current decline will provide a good entry point for stocks such as Axis Bank, which is trading near critical support levels. Longer-term price data show the 800 level.
According to the brokerage firm, Axis Bank stock could rise 11% in three months. ICICI Direct has chosen banking sector stocks as its quant picks, backed by derivatives and quantitative data.
The brokerage firm has initiated a “Buy” call on the stock with a target price of Rs. 950. The given time frame is three months, and a stop loss can be placed.