This banking stock soared over 3.6 per cent after receiving a claim under a scheme of Rs 916 crore. Do you own it?

The bank has received a claim under the scheme for FY 2022-23 amounting to Rs 916.61 crore.

On Tuesday, shares of Bandhan Bank soared over 3.68 per cent to make an intraday high of Rs 255.85 per share, from the previous closing level of Rs 246.75. The scrip witnessed some profit booking and closed 2.09 per cent up at the level of Rs 251.90. 

The company, in its press release, stated the bank had obtained a guarantee under CGFMU, the trust set up by the Government of India, with the purpose of guaranteeing payment against default in loans extended to eligible borrowers by banks. The bank has received a claim under the scheme for FY 2022-23 amounting to Rs 916.61 crore.  

In Q2FY23, the company reported a standalone total income of Rs 4249.87 crore, which is 15.72 per cent up from the corresponding quarter last year. The bank reported a net profit of Rs 209.27 crore for the September quarter compared with Rs 3009 crore loss in the year-ago period due to higher asset quality stress. The bank’s finance division achieved the best-ever growth of 32 per cent YoY and the retail division grew 112 per cent from a year ago. 

Recently, CLSA Asia-specific markets upgraded the bank to “buy” from outperform, primarily due to attractive valuations.   

Incorporated in 2014, Bandhan Bank is a commercial bank focused on serving underbanked and under penetrated markets in India. The company has a PAN-India presence and offers a wide range of banking products & services and asset & liability products and services designed for micro banking and general banking.  

The stock is up by 12.42 per cent in the last 1 month while the BSE Sensex is up by 0.97 per cent in the last 1 month. Investors should keep a close eye on this banking stock.