Bandhan Bank share price up 3% after CLSA retains 'buy'

Bandhan Bank share price gained more than 3 percent in the morning trade on November 3 after CLSA retained "buy" rating on the stock. The private lender had on November 2 reported a 5.3 percent decline in net profit at Rs 920 crore for the September quarter.

The research firm maintained a "buy" call on the stock and raised the target from Rs 400 to Rs 430 per share. It said the asset quality and collection efficiency trends were better and the strong liabilities momentum continued with CASA at 38.2 percent, a CNBC-TV18 report said.

CLSA feels that the bank will continue to gain market share in the Indian banking system. Its premium valuation is justified due to its high RoA profile and growth.

The stock was trading at Rs 312.10, up Rs 11.25, or 3.74 percent. It has touched an intraday high of Rs 312.35 and an intraday low of Rs 304.15.

Bandhan Bank on November 2 reported a 5.3 percent decline in net profit at Rs 920 crore for the September quarter of the current fiscal year. The bank clocked a net profit of Rs 971.80 crore in the same period of 2019-20.

Total income grew 22 percent to Rs 2,304.90 crore in July-September 2020-21 as against Rs 1,889.30 crore in the year-ago period, Bandhan Bank said in a regulatory filing.