CMP: 116

Andhra Bank operates a network of over 1,100 bank branches, 113 extension counters, and 220 ATMs across 19 states. More than 90% percent of all business transactions occur through computerized branches. The Group's banks specialize in a number of areas, including credit card services, retail lending, and accident insurance-linked savings bank accounts.

Andhra Bank is a decent bet in PSU Banking space. Its currently trading at a P/E of less than 5 with dividend yields of almost 5% in the last 12 months. Over 90% of their liabilities is in deposits which is good and deposits have been on the rise over the last 5 years. Revenues have risen from 4290 Crores to 11339 Crores over the last 5 years. Profits have risen from 575 Crores to 1345 Crores in the last 5 years. NPM has dipped marginally from 13% to 12% over the last 5 years. Buy and hold for long term gains.