Bandhan Bank Share: Big earthquake in Bandhan Bank shares! Stock down more than 17%; Know the real reason for the decline

Bank Share Price: Today on Wednesday, July 22, during early trading, there was a huge fall in the shares of Bank in the domestic market. Where at one time the shares of Bank fell by more than 17 percent. This is due to the bank reducing its ROA (return-on-assets) outlook for FY27 due to high operational costs and low margins. Following the results, the bank lowered its ROA outlook for Q4FY27 by 40 basis points to 1.2-1.4 per cent, from 1.6-1.8 per cent earlier.

Of this, 30 basis points are contributed by lower net interest margin (NIM) and 10 basis points are contributed by higher operating costs. At 12 noon, Bank shares were at Rs 172.40, down 17.44 per cent on the National Stock Exchange (NSE). Their intraday low has been Rs 171.56.

How much did the bank’s profit increase?

However, the private bank’s Q1FY27 results were good. The bank’s profit has increased by about 35 percent to Rs 502 crore, which was Rs 372 crore in the same quarter of the last financial year. During this period, the net interest income of the bank has increased by 6 percent on annual basis to Rs 2,921 crore. At the same time, the net interest margin has been 6.2 percent.

There was also improvement in asset quality. The bank’s gross NPA ratio declined to 3.15 percent from 3.27 percent in the previous quarter, while net NPA declined to 0.93 percent from 0.97 percent. At the same time, there was a sharp decline in provisions to Rs 683 crore from Rs 1,147 crore a year ago, which supported the bank’s income growth.

Domestic market continues to decline

indian stock market A decline is also being seen. Sensex was at 76,790 with a weakness of 690 points or 0.89 per cent and Nifty was at 23,999 with a weakness of 188 points or 0.80 per cent. A big decline was also seen in banking stocks. Nifty Bank was at 57,081 with a weakness of 1.30 percent.

Large cap stocks fall

Like largecap, there was a slight decline in midcap shares in early trade. The Nifty Midcap 100 index was at 62,915 with a weakness of 71 points or 0.11 per cent. However, the Nifty Smallcap 100 index was down 70 points or 0.37 per cent at 19,361. Maruti Suzuki, Eternal, Titan, HUL and Trent were the top gainers in the Sensex pack.

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IndiGo, Axis Bank, Tech Mahindra, SBI, Sun Pharma, Infosys, Kotak Mahindra Bank, HDFC Bank, ICICI Bank, Bajaj Finserv, TCS, NTPC, BEL, HCL Tech and UltraTech Cement were the top losers.