We would like to see higher credit growth, net interest income and fee-based income from the PSU banks. In the last couple of quarters, a lot of profit growth has come from lower credit cost but pre-provisioning profits or net interest income has remained in single digit and only after it starts to move and we get visibility of double digit type of credit growth, net interest income and fee based income, then some more confidence will come on the sustainability of the earnings. It would result in a re-rating of the price to earnings, price to book and that may result in a very strong rally in PSU banks.

PSU banks are trading anywhere from 0.5 to about one times their price to book and 5 to 20 P/E.