Satin Management has provided guidance indicating a significant decrease in Return on Assets (ROA) for the current fiscal year compared to the previous one. This is attributed to a slowdown in disbursements and an increase in stressed loans, particularly in Punjab. Should we interpret this as a sign of growth topping out and a deterioration in asset quality? This pattern has occurred multiple times in the past, and it seems the market is already factoring it in. As I’m not an expert in this sector, I would highly appreciate expert view on this matter.
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