Expect IndusInd to offer 15-20% return every year: Mehraboon Irani.

In a chat with ET Now, Mehraboon Irani, Nirmal Bang Securities, talks about IndusInd Bank.

ET Now: Can IndusInd Bank offer you superlative returns?

Mehraboon Irani: Can the returns which you have seen in the stock be replicated? No. It is a company, where you feel that your money will offer better return than fixed deposits. If I get a year-on-year (YoY) return anywhere between 15 per cent and 18 per cent, my money would end up doubling or more than doubling over the next five years.

That is good enough if there are no risks to my capital. So, it is among stocks you need to go and buy into. It is not that it is going to give you the same type of return, which it had given to you from 2007 onwards.

In 2007, the bank was quoting at Rs 40-50, but there were not many takers. That Rs 40-50 levels have become Rs 950 today. The kind of returns the stock has given in the last eight years well, others like ICICI Bank and PNB and SBI have failed to match it. In that particular case, I do not think that the returns can be replicated. At the end of it, even if I am buying IndusInd Bank at Rs 950, I would not be losing my money. I am possibly going to make 15-20 per cent returns every year.