Technical Analyst Sudarshan Sukhani has maintained 'buy' rating on Andhra Bank stock with target of Rs 135.

According to Jain, the investors can buy the stock with stop loss of Rs 126.

The stock of the bank, on May 27, closed at Rs 129.95 on the Bombay Stock Exchange (BSE). The share price has seen a 52-week high of Rs 138.50 and a low of Rs 76.10 on BSE.

Current EPS & P/E ratio stood at 21.56 and 6.17 respectively.

Eyeing a big chunk from the Mumbai zone, Andhra Bank is planning to launch 10 new divisions in 2010-11.

M Anjaneya Prasad, Andhra Bank's general manager (Mumbai Zone) said, "Presently, we have 86 branches in the Mumbai zone. We now plan to open 10 new branches here and we have already received licences for five branches".

The bank said that out of 10, five new branches would be commenced in Gandhidham, Bhavnagar, Jamnagar, Jalgaon and Sangli.

Moreover, the bank plans to add 15 new divisions in Punjab, Haryana, Uttaranchal, and Jammu and Kashmir by 2011.

In fourth quarter ended March 2010, Andhra Bank recorded outstanding growth in net profit and revenue.

The bank registered a net profit of Rs 2402.645 million during the fourth quarter as against Rs 2012.105 million in the same quarter of last year.

Bank's total income increased to Rs 73374.858 million from Rs 61399.992 million in the last year.