Query: I want to know about IDBI future,I am having 200 shares @ Rs.165 please guide me. Deepak GuptaThebullishtrends: IDBI share price closed today at Rs.174. Industrial Development Bank of India is an India-based commercial bank. The Bank offers an array of corporate banking products under various segments, such as Deposits, Cash Management, Central and State Government Agency Business, Trade Finance and Treasury Products. IDBI Capital Market Services Limited, a wholly owned subsidiary of Industrial Development Bank of India, offers a suite of financial products and services to institutions corporate and retail clients. Its businesses include primary dealing, stock brokering, distribution of financial products, merchant banking, corporate advisory services, debt arranging and underwriting, portfolio management of pension funds and research services.
IDBI will have a nice future in the coming years. We expect that IDBI will post Rs.20,924 cr revenue and EPS Rs.9.41 for FE08 and Rs.23,527 cr revenue and EPS Rs.11.50 for FE09. The present share price Rs.174 discounts the FE08 expected EPS Rs.9.41 by PE 18.49 times and FE09 EPS Rs.11.50 by PE 15.43 which is more reasonable. As IDBI Plans to enter into Insurance sector will place this scrip in higher levels in coming months. Hold this.
