IndusInd Bank shares surged over 5%, marking their biggest intraday gain since April 15.
Nomura maintained a positive outlook, citing strong recovery and low valuation.
Governance reforms and the RBI’s support are boosting investor confidence despite mixed analyst ratings.
On June 18, 2025, IndusInd Bank shares surged in early trade. At 11:32 am, the share price stood at ₹836.60, up 3.27% from the previous close of ₹809.15. The stock opened at ₹818.05 and hit a high of ₹855.50. This marks its highest intraday gain since April 15, 2025. The day’s low was ₹815.55. The stock is trading below its 52-week high of ₹1,550 and far from its all-time high of ₹2,038.
Trading volumes were significantly higher than usual. A total of 12.74 million shares were traded. This is nearly three times the 20-day average volume of 4.28 million. On the BSE, 4.76 lakh shares changed hands, compared to the two-week average of 1.56 lakh. The total trade value reached ₹1,06,561.72 lakh. The volume-weighted average price (VWAP) stood at ₹843.79.
Nomura, the global investment bank, retained a positive outlook on IndusInd Bank. It said the stock offers value, trading at just 0.9 times its one-year forward book value. This makes it a relatively cheap option compared to other private lenders. Nomura expects investor interest to grow due to the bank’s low valuation.
Nomura believes the bank has addressed most of its legacy issues. It expects a steady recovery in performance. Return on assets (RoA) is projected to rise to 1% by FY27. This signals improving profitability over the next two years.
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The board is focusing on better governance standards. A new CEO is being searched for, and the bank aims to begin FY26 with a clean slate. Nomura sees these changes as constructive. It believes these steps will boost investor confidence in the long term.
The Reserve Bank of India recently acknowledged the bank’s recovery efforts. Nomura said this adds comfort to investors. There is also a chance the RBI may allow the promoters to raise their stake. This could ease concerns around promoter control and governance.
The stock has a market cap of ₹65,113 crore. The book value per share is ₹843.35. It is currently priced very close to its book value, with a price-to-book (P/B) ratio of 1.00. The trailing twelve-month (TTM) earnings per share are ₹33.06, down 71.32% year-on-year. The price-to-earnings (PE) ratio is 25.28, which is higher than the sector PE of 20.12. The dividend yield stands at 1.97%.
IndusInd Bank share price chart shows gains of 3.62% as of 11.57 AM:
Analyst opinions on the IndusInd Bank stock are divided. About 18% suggest a ‘Buy’ and 5% recommend ‘Outperform’. Meanwhile, 28% each advise ‘Hold’ and ‘Sell’. Another 23% predict the stock will ‘Underperform’. These mixed views reflect uncertainty, despite the recent price jump.
Short-term volatility is expected, although there is upside potential in the long run. Investors should monitor the above-mentioned key price levels carefully before making any decisions.
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