IndusInd Bank Share Price Rises to ₹773.85 With 0.51% Despite Q4 Losses

IndusInd Bank stock recovers on the news of CEO appointment: Is this a risky bet or a golden opportunity for value hunters?
IndusInd Bank share price rises to ₹773.85 with 0.51% Despite Q4 Losses
Written By:
Aayushi Jain
Published on

IndusInd Bank share price surged by 0.51% as of 11.45 AM on May 22, 2025. The stock is trading at ₹773.85, showing modest gains over the previous close of ₹769.95. IndusInd Bank shares witnessed significant volatility recently, followed by the revelations of Q4 losses and accounting discrepancies.

The recovery, however, highlights the market's cautious optimism on the reports of a new CEO appointment. The bank clarified that its board is in advanced stages regarding the selection process. It will submit the recommendations of CEO names to the RBI by June 30. 

Intraday Volatility and Trading Activity

Intraday low and high of the IndusInd Bank share price today are ₹725.65 and ₹796.20, respectively. Trading volumes surged significantly, with over 32.5 million shares changing hands. Total turnover exceeded ₹2,520 crore.

IndusInd share price chart as of 12.17 AM on May 22 shows gains of 0.12%:

Compared to the 20-day average volume of 4.28 million. This spike indicates heightened interest, possibly from institutional and value investors. The average delivery of 101.43% suggests share ownership rather than speculative trades.

Earnings Shock and Accounting Irregularities

IndusInd Bank reported a net loss of ₹2,328.92 crore for the fourth quarter of FY25. It is a sharp reversal from a net profit of ₹2,349 crore posted in the same quarter last year. Net interest income stood at ₹3,048.3 crore, while provisions surged to ₹2,522.08 crore. Thus, reflecting a deteriorating asset quality. The gross NPA ratio rose to 3.13% in Q4FY25, up from 2.25% in Q3.

The bank admitted to accounting errors, revealing that ₹674 crore had been wrongly recorded as interest income across three quarters. It is coupled with a detected fraud and mounting slippages in the microfinance segment. All these issues have raised red flags among analysts and investors, resulting in volatile price swings.

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Valuation and Market Positioning

Despite the earnings miss, IndusInd Bank is trading at attractive valuation metrics. Its trailing 12-month EPS is ₹93.11, and its PE ratio is 8.31 is far below the sector average of 19.35. The price-to-book ratio is also low at 0.92, with the book value per share at ₹843.35. These figures suggest the stock may be undervalued. However, they also reflect concerns about future growth and governance.

Analyst Sentiment and Key Price Levels to Watch

Analysts remain cautious. Nirmal Bang maintained a ‘HOLD’ rating with a target of ₹730, citing downside risks from loan growth slowdown and leadership uncertainty. Motilal Oswal gave a 'NEUTRAL' view with a ₹650 target. Meanwhile, InCred Equities revised its estimate to ₹840 after adjusting for the latest financial lapses.

The immediate resistance and support levels according to classic pivot points are ₹ 784.10 and ₹ 758.40. It is clear that while IndusInd Bank share price today has shown resilience after the initial plunge, the road ahead remains uncertain. The stock's rebound offers some hope. However, sustained recovery will depend on earnings normalization, resolution of governance issues, and investor confidence in the new leadership.

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