AXISBANK

Axis Bank has improved significantly in asset quality with GNPA down to 1.3% in Q1 FY26, one of the lowest in recent years. Loan growth remains strong at 14% YoY, led by retail and SME segments. Margins are slightly lower compared to ICICI Bank, but CASA growth provides stability. Valuations at ~2x book value are reasonable compared to peers. Axis is emerging as a turnaround story, well-positioned for growth with a focus on profitability and digital initiatives. Investors can consider gradual accumulation.