Technical analyst Shailesh Kadam of Pioneer Investcorp is bullish on Andhra Bank and has maintained 'buy' rating on the stock.

According to the analyst, the interested investors can buy the stock to achieve a target of Rs 146.

The research report said that the interested investors can buy the stock with stop loss of Rs 132.

The stock of the bank, on March 08, closed at Rs 136.45 on the Bombay Stock Exchange (BSE).

The share price has seen a 52-week high of Rs 190.15 and a low of Rs 98 on BSE.

Current EPS & P/E ratio stood at 24.63 and 5.61 respectively.

Andhra Bank , during the last month, announced that the Indian administration has infused Rs 6.18 billion through preferential allocation of equity shares in the administration's favour.

The bank's board meet, which took place on Feb 18, sanctioned the preferential apportioning of equity subject to stockholders consent to be obtained at EGM of bank's shareowners to be held on March 23, 2011.

As per fresh reports, the country's administration is all set to lift up its equity holding in the banking institution to 58% from 51.55%.

Mr. R Ramachandran, Chairman and Managing Director, Andhra Bank stated that the stake increase is expected to take place before the end of March. "This might result in a capital infusion in the excess of Rs 1,100 crore if the Government stake is to be kept at 58 per cent," Mr. Ramachandran said.

The main purpose behind the said increase in Government equity stake is to permit the bank to lift up more Tier-II capital and facilitate a follow-on public issue henceforth.