Fri Jan 17 09:57:53 UTC 2025: ## Axis Bank Shares Plunge 6% to 52-Week Low After Q3 Results

**Mumbai, India** – Axis Bank shares experienced a sharp decline, plummeting 6% to their 52-week low on Friday, a day after the bank released its third-quarter (Q3) financial results for FY25. The stock closed at Rs 974.45 on the Bombay Stock Exchange (BSE), down from Rs 1,040.20 the previous day.

While the bank reported a 3.8% increase in consolidated net profit to Rs 6,304 crore, exceeding the previous year’s Rs 6,071 crore, this growth fell short of market expectations, triggering investor concern. Interest income rose 11% to Rs 30,954 crore. Net interest income (NII) grew by 9% year-on-year to Rs 13,606 crore, and operating profit increased by 15% to Rs 10,534 crore. However, higher-than-expected slippages and stagnant recoveries weighed on investor sentiment.

Despite the positive operational figures, including a net interest margin (NIM) of 3.93% and a total provision coverage ratio of 151% of gross non-performing assets (GNPA), the stock has underperformed recently, down 13.49% in the past month, 24.93% in the past six months, and 9.29% over the past year.

Axis Bank’s MD & CEO, Amitabh Chaudhry, attributed the bank’s performance to efforts in strengthening business operations and expansion.

Analyst reactions are mixed. Jefferies maintained a ‘Buy’ rating with a target price of Rs 1,430, citing higher-than-expected slippages but noting that provisioning costs and income margins met predictions. Bernstein also kept an ‘Outperform’ rating (target price Rs 1,300), highlighting stagnant recoveries and rising credit costs as key concerns. Nuvama lowered its target price from Rs 1,335 to Rs 1,220 but maintained a ‘Buy’ rating, citing downside protection after the correction.

The significant share price drop leaves investors with a divided outlook on Axis Bank’s future performance.

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