IndusInd Bank Share Price in Focus; Drops for the 3rd Straight Day on March 7, 2025

As of March 7, 2025, at 11:44 AM, IndusInd Bank’s share price stood at ₹946.10, marking a decline of 2.63% (-₹25.60) from its previous close of ₹971.70. The stock opened at ₹971.00, reaching an intraday high of ₹976.60 before dipping to a low of ₹942.60.

Bulk Deal Triggers Stock Decline

The offloading of shares by Integrated Core Strategies through a bulk deal earlier this week has weighed on investor sentiment, leading to a sharp decline in IndusInd Bank’s stock price.

Large institutional trades of this scale often influence market perception, prompting heightened trading activity and potential short-term volatility.

Q3 FY25 Financial Performance

IndusInd Bank’s weak Q3 FY25 performance has added pressure on its stock, amplifying investor concerns. The bank reported a 39% year-on-year decline in net profit, falling to ₹1,401 crore from ₹2,301 crore in the previous year.

Provisions and contingencies surged 87% to ₹1,744 crore, highlighting the bank’s cautious stance on asset quality. Additionally, the gross non-performing assets (GNPA) ratio worsened to 2.25%, up from 2.11% in the prior quarter and 1.92% a year ago.

Stress in the microfinance segment also intensified, with NPAs rising to ₹2,432 crore from ₹2,259 crore in the previous quarter, now accounting for 9% of the total loan book.

Furthermore, net interest income (NII) declined to ₹5,228 crore from ₹5,296 crore a year earlier, reflecting pressure on the bank’s core earnings. These factors collectively weighed on investor sentiment, contributing to the stock’s recent downturn.

Conclusion

The combination of a large institutional sell-off, weak Q3 financials, and rising stress in the microfinance segment has led to a sharp correction in IndusInd Bank’s stock.

While the bank remains a key player in the private sector banking space, investors will likely keep a close watch on further developments, particularly regarding asset quality and provisions in the coming quarters.

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