Barring State Bank of India (SBI), none of the public sector banks (PSBs) are worth to be invested in, said Suresh Ganapathy, banking analyst at Macquarie Capital Securities, on Monday.
“Apart from SBI, I do not think any of the PSUs have an investment base," Ganapathy said in an interview with CNBC-TV18.
"I still believe that for the next 5 years, you will have to stick with the large ones because they are the ones who are going to be competitive enough to survive and gain market share," he said.
Ganapathy believes that private lenders like HDFC Bank, ICICI Bank and Axis Bank have legs to rally for the next 2-3 years.
According to him, a good 5-year asset quality phase is expected for the entire banking system and that’s the main reason for his positive view on the sector.
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