02 Oct 2025 | 5 Mins Read
Banks face potential Q2 earnings hit from NIM pressures
Flipitmoney
Axis Securities reports banks to experience soft performance in Q2 due to factors like tepid growth, NIM pressures, and higher credit costs. However, margins are expected to improve in H2, with deposit repricing and RBI's CRR cut supporting the recovery. Valuations are comfortable for most banks, but clarification on credit growth and asset quality will trigger an upside for banking stocks.