Target of 350 0r 360 possible in Union Bank of India: Gaurang Shah, Geojit BNP Paribas Financial Services

Gaurang Shah, Asst VP, Geojit BNP Paribas Financial Services, in a chat with ET Now talks about the Union Bank of India and the banking space.

You have placed a target of Rs 350 on Union Bank of India. We had seen that a lot of fund managers also extremely bullish on this midcap banking space as a whole. Is it only Union Bank or would you have some more picks within this sector?

In the banking pack - amongst the smaller ones - definitely there are quite a lot and Corporation Bank is the other one. I think the only negativity in Union Bank is the deterioration of loan but that could be just a short term negative. Going forward into next quarters you are going to see that particular quality in a much better shape.

Corporation Bank, IndusInd Bank, Yes Bank amongst the private leaders. We have got a buy call on smaller regional and smaller banks like Dena Bank and UCO Bank. But we feel that you can get a price target of 350 or 360 from Union Bank of India at least from 6 months time horizon.