Added HDFC Bank for tracking position at 1 %. Dividends money invested in HDFC bank. ROE of 16 % available at 2.5 times book. So 8 % Bond and they can grow EPS at 15 % and next year PE HDFC Bank is available at 14 times forward earnings. It is easy to 2x to 3x in the next 5 years. EPS doubles and then maybe multiple expands 50 %.
Although management is guiding over the next 10 years they can reduce the cost to income from 40 % to 30 % which means they grow profits even higher.
I would like to more less than 2 times book or less than 1200.
Disc : I am biased please think yourselves.
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