Axis Bank’s share price experienced a notable increase of 4.36%, reaching Rs. 1,312.90 following the release of its impressive third-quarter (Q3) earnings for the financial year 2026 (FY26). The stock demonstrated significant trading activity, indicating strong interest from both retail and institutional investors. This surge in share value reflects heightened investor confidence in the bank’s performance and growth potential.
The bank reported a 3% year-on-year rise in net profit, amounting to Rs. 6,489.6 crore, with net interest income for the quarter increasing by 5% to Rs. 14,286.6 crore. This growth was supported by a robust expansion of the bank’s loan book, which grew by 14% year-on-year. Additionally, deposits surged by 15%, contributing to the positive sentiment among investors.
Market Performance and Analyst Ratings
At the time of writing, Axis Bank shares opened at Rs. 1,288.80, up from the previous close of Rs. 1,258. The stock hit an intraday high of Rs. 1,333.20, marking a new 52-week high, before settling lower at Rs. 1,312.90. The day’s low was reported at Rs. 1,278.40, illustrating active buying even during minor fluctuations in price. Over 1.68 crore shares changed hands, with a total traded value exceeding Rs. 2,212 crore. This data indicates strong participation from both retail and institutional investors.
Brokerages responded positively to the results, with several firms upgrading their price targets for Axis Bank. Citi raised its target price to Rs. 1,436, while Nomura set its target at Rs. 1,540. Additionally, both CLSA and Bernstein maintained an ‘Outperform’ rating with target prices of Rs. 1,500 and Rs. 1,480, respectively. Analysts highlighted improved asset quality, stable credit growth, and effective cost management as pivotal factors driving these optimistic ratings.
Interestingly, 63% of the 40 analysts surveyed on Moneycontrol recommended a ‘Buy’ call, while the remainder were equally split between ‘Outperform’ and ‘Hold’ ratings. Such widespread endorsement reflects a consensus view on the bank’s robust performance and potential for future growth.
Improved Asset Quality and Investor Sentiment
A critical factor behind the upward movement in Axis Bank shares was the improvement in its asset quality. The bank reported a decrease in gross non-performing assets (NPA) to 1.4% from 1.46% in the previous quarter, surpassing many analysts’ expectations. This reduction alleviated investor concerns regarding the health of the bank’s loan portfolio, as net NPAs remained stable at 0.42%.
Given the current trading environment, investors will be closely monitoring whether Axis Bank can sustain these elevated levels, particularly amidst broader market volatility. The combination of strong earnings, improved asset quality, and positive analyst commentary positions Axis Bank as a standout performer in the stock market today.
In summary, Axis Bank’s strong Q3 earnings have not only boosted its share price but have also instilled a renewed sense of confidence among investors. With its shares trading close to a 52-week high, the focus now shifts to the bank’s ability to maintain this momentum in the coming weeks.
