Sunday, June 9, 2024
Home News Bandhan Bank shares: Bear-trap worry returns as stock hits new 3-year low

Bandhan Bank shares: Bear-trap worry returns as stock hits new 3-year low

Bandhan,

Portions of Bandhan Bank saw weighty selling in intra-day exchange on Tuesday, with the stock falling almost 8% to hit a 52-week low. 182.20 on the BSE, despite the fact that BSE Bankex constituents were largely unchanged.

The stock of the private sector lender has lost 14.25% in three sessions, making it the worst performer on the Nifty Bank index. Shares in Bandhan Bank fell to their lowest point since April 2020. On March 25, 2020, it reached a record low of 152.35.

Significant volumes of over 17 million shares today, more than twice the 6-month average daily trading volume of over 8 million shares, supported the decline in trading.

According to New Generation Bank, which has its headquarters in Kolkata, the primary causes of the decline in NII were an increase in the cost of funds and a higher reversal of interest income.

The lender’s net interest margin for the quarter was 6.5%, down from 7% in the prior quarter. During the quarter, Bandhan Bank sold off 8,897 crores of loans for a total of 801 crores, of which 387 crores were issued as security receipts.

With the report of starting patterns and improvements, the administration of Bandhan Bank said, they are sure that the final quarter will see a decent improvement in the bank’s exhibition.

According to Brokerage MK Global, Bandhan Bank may attract alpha-seeking investors if it reports better results in the fourth quarter than in the third. Bandhan Bank stock has a “Buy” call from the brokerage.

Bandhan Bank remains under Kotak Institutional Equities’ “Buy” rating with a revised target of 250-270.

As a result of normalizing credit costs, higher NIM, and asset growth, Nuwama Institutional Equities recently stated that the bank’s earnings and valuations have bottomed out and could rebound in FY24.

Nuwama went on to say that the bank’s long-term earnings visibility from business transformation is low because it moves away from its core competence and into areas where it faces competition.

The stock is rated “Hold” by the brokerage and has a target price of Rs. 265.

The shares of Bandhan Bank ended the day down 5.33%. 187.25 points on Tuesday, making it its third season in a row of defeats.

RELATED ARTICLES

Markets end FY23 in style; Sensex Nifty rally nearly 2% on firm global trends

Market, The final day of the fiscal year 2022-23 saw gains for benchmark indices, with a gain of nearly 2% on Friday, extending gains for...

Day trading guide for today: 6 stocks to buy or sell on Friday — 31st March

Trading, Day trading guide for today: Indian shares gained on Wednesday as global markets' increased risk appetite was aided by easing in the banking industry....

Financial, IT stocks aid Indian shares snap three-month losing streak

Financial, By Bharat Rajeshwaran BENGALURU (Reuters) - Indian shares rose on Friday, supported by a higher weighting of financial stocks and information technology (IT) stocks,...

LEAVE A REPLY

Please enter your comment!
Please enter your name here

SIGNUP & GET $10000 BONUS

Most Popular

Trading the Inside Bar Pattern on Pocket Option Platform

Inside Bar Pattern Introduction Price movement on a chart is examined in price action trading. You may use candlesticks to predict where prices will move...

“Unlocking the Secrets: 4 Tricks of Successful Traders on Pocket Option Platform”

For a year, I have been trading on the Pocket Option platform. I sometimes succeed and sometimes fail. However, I was confident that if...

Identifying Mistakes That Lead to Losses on Pocket Option

Why do people lose their money when trading binary options New traders frequently take a significant financial risk while trading binary options. As a result,...

Weekly Income Plan on Pocket Option Platform”

Get weekly returns on Pocket Option It turned out that October was a terrific month for me. I am still able to generate money every...

Recent Comments