Multibagger PSU bank stock to buy below Rs 100: share corrects 24%; should you buy post Q2 results

As of Monday's close at Rs 76.10, the stock had corrected more than 24 per cent from its 52-week high of Rs 94.50, recorded on June 29, 2026. Despite the recent correction, it has gained nearly 25 per cent in 2026 so far and surged almost 290 per cent over the past five years.

Bank of Maharashtra target price: What brokerages say
BOM received Rs 800-900 crore of one-off gains, though has also prudentially provided Rs 500 crore towards ECL buffer and had Rs 300 crore of treasury delta, said ICICI Securities. "Our FY27E/FY28E EPS is revised up by 10 per cent/7 per cent, driven by higher growth/NIM. It has corrected 12 per cent in the last two months, burdened by draught concerns," it said.

Net P&L impact appears limited, as over 40 per cent of its agri is backed by gold, almost entire incremental YoY agri growth is driven by gold while the pure crop loan exposure seems limited and there is some offset from ongoing recoveries. Valuations at 1.25 times FY28E ABV seems attractive, as BOM scores high on growth as well as on RoE, ICICI Securities said with a 'buy' and a target price of Rs 100.

HDFC Securities said Bank of Maharashtra delivered a strong performance, supported by robust loan growth, margin expansion and a sharp decline in credit costs to 15 basis points. Strong upgrades and recoveries helped contain credit costs, while deposit growth improved, aided by foreign currency non-resident (FCNR) deposit mobilisation. The credit-to-deposit ratio eased to 87.5 per cent.

HDFC Securities said management had indicated a limited impact from farm loan waivers in Maharashtra and the transition to the expected credit loss framework. The bank's profitability remained strong, with RoA and RoE at around 2 per cent and 27 per cent, respectively, supported by healthy NIMs, improving operating efficiency and stronger recoveries. It reiterated its 'buy' rating with a revised target price of Rs 95.

Systematix Institutional Equities said BOM's sequential improvement was driven primarily by higher NIMs, recoveries from written-off loans and lower provisions. Its NIM improved by 7 basis points quarter-on-quarter and 1 basis point year-on-year to 3.86 per cent. The improvement was supported by higher yields on advances following the repricing of select MCLR-linked corporate accounts, partly offset by a higher cost of deposits.

It noted that the bank received Rs 1,200 crore from the Maharashtra government's loan-waiver scheme during Q2FY27, part of which was used to create a standard-asset provision of Rs 600 crore. Systematix retained its 'buy' rating with a revised target price of Rs 100, valuing the standalone bank at 1.7 times its estimated FY28 adjusted book value per share of Rs 59.