More Stories

Informist, Wednesday, Jun. 18, 2025

By Anjana Therese Antony

MUMBAI – Aggressive long bets have been added to the derivatives chain of IndusInd Bank after Nomura Global Markets Research upgraded the stock's rating and also raised the target price. The broking firm's bullish view is backed by the lender's commitment to improve governance, ongoing search for a new leadership, its intent to start the financial year on a "clean slate", and the Reserve Bank of India's recent acknowledgements about the bank's recovery efforts.

This came as a relief for the stock, which had fallen sharply after the lender announced discrepancies in the accounting of its derivative portfolio in March and consequently reported a net loss of INR 22.36 billion in the March quarter. The stock has fallen more than 58% from its record high of INR 2,038 hit on Aug. 3, 2018. 

"The past few months have been turbulent for Indusind Bank owing to governance failings and accounting lapses. However, the bank has undergone a significant clean-up of its books and has taken one-time provisions to address legacy issues," Nomura said in its report. The RBI's potential approval for the promoter to raise stake in the bank could allay some investor concerns, it added. The broking firm upgraded its rating to 'buy' from 'neutral' and also increased the target price to INR 1,050 from INR 700. This target price is 23% higher than the spot level. 

On Wednesday, shares of IndusInd Bank closed over 5% higher at INR 850.50 as the top gainer in the Nifty 50. The volume of the stock traded also skyrocketed, up 788% from Tuesday to 20.83 million. The bank's market capitalisation increased by 32.21 billion to INR 662.59 billion. 

Premiums on INR 850-INR 960 call options increased 150-409%, while those on put contracts INR 850-INR 790 fell 60-72%. The highest addition of open interest was at INR 850 call and INR 820 put contracts. The highest concentration of open interest was at INR 820 call as well as put strike. Traders also added long positions to the futures series of IndusInd Bank and open interest in the June contract increased 3.7% to 39.73 million. 

--Nifty 50 Jun closed at 24813.00, down 55.80 points; 0.95-point premium to the spot index

--Nifty 50 Jul closed at 24934.00, down 51.40 points; 121.95-point premium to the spot index

--Nifty 50 Aug closed at 25043.00, down 49.90 points; 230.95-point premium to the spot index

BSE, Hindustan Zinc, HDFC Bank, IndusInd Bank, ICICI Bank, Biocon, Reliance Industries, Tata Consultancy Services, Infosys, Tata Motors, State Bank of India, Hindustan Aeronautics, Vedanta, and Bharat Electronics were the most active underlying stocks Wednesday.  End

Edited by Saji George Titus

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.