Overview

• IndusInd Bank share price climbed 1.80% to ₹725.60, supported by cautious investor optimism and high trading volumes of 3.7 million shares.
  

• Governance concerns remain a focus, with board and committee payouts rising sharply in FY25 following regulatory scrutiny.
  

• Analysts maintain a mixed stance, with valuations high on PE but low on P/B, making the stock a closely watched pick for investors.

IndusInd Bank share price opened at ₹717.75 and climbed 1.80% to settle at ₹725.60 at press time. During intraday trade, it touched a high of ₹730.95 and a low of ₹712.55, with total volumes crossing 3.7 million shares worth ₹26,891 lakh. It has a market capitalization of ₹56,533 crore with a 52-week range of ₹606 to ₹1,474.80, currently trading below its highs. Let’s explore an in-depth analysis of IndusInd Bank share price based on Moneycontrol market data. 

IndusInd Bank Stock Valuation 

IndusInd Bank shares trailing twelve-month earnings per share (EPS) stand at ₹12.95, a sharp 88.82% decline year-on-year, showing profit pressure. At the current market price, the price-to-earnings (PE) ratio is at 56.03, which is above the sector average PE of 19.41. Hence, indicating the stock remains expensive relative to its peers. However, the price-to-book (P/B) ratio at 0.87 suggests the market is valuing the company at a discount to its book value of ₹843.33 per share.

IndusInd Bank share price chart on TradingView shows gains of 1.92% at the time of writing: 

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IndusInd Bank Board Payouts

IndusInd Bank’s board of directors pocketed high payouts in FY25. Chairman Sunil Mehta earned sitting fees of ₹96.25 lakh, more than double the previous year’s figure of ₹47.95 lakh, alongside his fixed annual remuneration of ₹30 lakh.

Similarly, independent directors such as Pradeep Udhas and Bhavna Doshi saw steep jumps in their payouts. Udhas received ₹84 lakh in FY25, more than three times the ₹25.20 lakh he earned in FY24, while Doshi collected ₹74.75 lakh, a 79% rise from the prior year. New entrant Rakesh Bhatia emerged as one of the highest-paid board members, earning ₹90 lakh in his first year.

The increase in payouts was largely on a surge in board activity following regulatory scrutiny after the March 10 disclosures. Between March and August 2025 alone, the company’s board reportedly met 180-200 times, far exceeding the previous year’s frequency. Risk management and audit committee meetings saw the sharpest rise.

The bank has defended the payouts, stating they are under the shareholder-approved limits and regulatory guidelines, rejecting any allegations of impropriety. It also clarified that heightened board oversight was necessary to safeguard stakeholders’ interests under ‘extraordinary and unusual’ circumstances.

Analyst Sentiment

Despite the modest recovery in share price, analyst sentiment toward IndusInd Bank is cautious. Out of 37 analysts on Moneycontrol covering the stock, only 8% have a ‘buy’ rating, while 32% recommend ‘sell.’ Around 30% suggest a ‘hold,’ and 27% see the stock as ‘underperform.’

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Investor Outlook

IndusInd Bank share price movement will depend on restoring investor trust through stronger governance practices and stabilizing earnings. With valuations stretched on a PE basis but discounted on book value, the stock sits at a crossroads. Investors may closely monitor RBI’s regulatory stance, boardroom decisions, and earnings momentum before re-rating the stock.

FAQs

1. Why did IndusInd Bank shares rise 1.80% today?
Shares rose due to cautious investor optimism amid the bank’s ongoing recovery from the March 2025 derivatives disclosures. Positive sentiment was supported by trading volumes exceeding 3.7 million shares and steady market activity.

2. What are the main issues affecting IndusInd Bank?
Board and committee payouts spiked sharply in FY25, with directors earning significantly higher sitting fees after a surge in meetings. While the bank maintains these were within regulatory limits, scrutiny continues among investors.

3. How is IndusInd Bank stock valued compared to its peers?
The bank’s PE ratio is 56.03, much higher than the sector average of 19.41, signaling an expensive valuation. However, its P/B ratio is 0.87, suggesting the stock trades below book value, which may interest value-focused investors.

4. What do analysts think about IndusInd Bank shares?
Analyst sentiment is cautious: only 8% recommend ‘buy,’ while 32% suggest ‘sell,’ 30% ‘hold,’ and 27% see the stock as ‘underperform.’ This reflects ongoing concerns about governance, earnings pressure, and regulatory oversight.

5. What should investors watch going forward?
Investors should monitor RBI decisions, boardroom governance, earnings recovery, and market sentiment. Performance will likely depend on restoring trust, stabilizing profits, and managing regulatory scrutiny to influence long-term stock momentum.