Bangalore: IIFL is bullish on Kotak Mahindra Bank and has recommended a buy rating on the stock with short term target of 870. According to IIFL, despite extreme volatility in the broader market, Kotak Mahindra has managed to hold on the support of its short-term trendline since second week of October 2009. Kotak Mahindra is a commercial bank that operates in eight segments: Treasury, investments and balance sheet management unit (BMU), retail banking, corporate banking, vehicle financing, broking, advisory and transactional services and asset management. As of March 31, 2009, Kotak Mahindra had a network of 217 branches. During the recently announced quarterly results, the bank reported that its consolidated net profit jumped 86 percent to 2.99 billion in the second quarter of financial year 2010 (Q2FY10) from 1.61 billion in Q2FY09. According to IIFL, on the upper side, Kotak Mahindra is facing stiff resistance around the levels of 840 from October onwards. The stock is trading well above its short-term moving averages, says IIFL. With the recommended target price, if the stock is bought at Thursday's closing price of 785.20, the percentage of gain would be 6.9 percent.