$KOTAKBANK k Mahindra Bank's 'legacy issues are largely behind' - Ashok Vaswani signals new growth chapter

Kotak Mahindra Bank Share Price Target 2026: Emkay recently met the Managing Director and CEO of Kotak Mahindra Bank (KMB), Ashok Vaswani, in a small group interaction. According to the brokerage, KMB is entering a new phase of growth, with the CEO indicating that the initial consolidation period is now largely behind the bank. The brokerage noted that the stock is attractively valued at 1.5x June 2027 core price-to-book value and is expected to deliver steady compounding going forward. However, it does not see any immediate catalysts for significant outperformance. Emkay believes the bank would need to achieve around 22-23% growth to structurally address the return-on-equity (ROE) drag arising from excess capital, though such growth appears unlikely in the near term. The brokerage expects the bank to deliver a healthy 2% return on assets (RoA) during FY27-FY29, supported by improved growth, operating leverage, and lower credit costs.