Here's why RBL Bank shares zoomed over 13% today 

Shares of RBL Bank zoomed over 13 per cent to hit an intraday high of Rs 114.60 after the lender reported good set of numbers for the quarter ended March 2022. 

The bank's profit more than doubled to Rs 164.77 crore in the March quarter, mainly due to a low base in the year-ago period. The private sector lender reported a net profit of Rs 197.83 crore on a standalone basis in the January-March period as against Rs 75.34 crore in the year-ago period. 

In FY22, it reported a loss of Rs 74.74 crore whereas it had a net profit of Rs 507.78 crore in 2020-21. 

The stock opened higher at Rs 104.70 against the previous close of Rs 101.75. With a market capitalisation of Rs 6,630 crore, the shares lower than 5-day, 20-day, 50-day, 100 day and 200 day moving averages. 

On the asset quality front, its stock of gross non-performing assets reduced to 4.40 per cent in the latest March quarter as against 4.84 per cent at the end of the preceding December quarter, as the gross slippages declined to Rs 619 crore from the Rs 766 crore in the quarter-ago period. 

Net Interest Income (NII) grew 25 per cent to Rs 1,131 crore, despite a tepid 2 per cent advances growth while the Net Interest Margin (NIM) widened sharply to 5.04 per cent. 

JP Morgan maintained its neutral rating on the stock with a target price of Rs 110. There is uncertainty around the new CEO appointment, the brokerage firm said. RBL Bank's stock rise may remain capped considering the single-digit return on equity profile, it added. 

The bank's interim chief executive and managing director Rajiv Ahuja told reporters that it is targeting for an overall balance sheet growth in the high-teens to the early 20s which will include a retail assets growth of 25 per cent on the back of performance in segments like credit cards, micro loans, housing and used car lending. 

According to MarketsMojo, the stock is trading at a discount compared to its average historical valuations and has a Very Attractive valuation. 

(With inputs from PTI)