Bandhan Bank has posted robust Q3FY21 operational numbers, with Loan book rising by 22.6% YoY, CASA Ratio at 42.9%, GNPA of 1.1% and NNPA of 0.3%, with NII rising by 34.5% YoY, with annualised NIM at 8.3% against 7.9% YoY, with Net worth of over Rs. 18,000 crores. Bank has its total loan book of Rs. 80,255 crores, with 2.25 crore customers (of which, 17 lakh were added in Q3) which gives an average loan ticket of Rs. 35,670, per borrower.
But as Bank has made an accelerated provision of Rs. 1,000 crore, with a note saying that its Gross NPA would have been at 7.12% without Supreme Court dispensation, has given Media, a point to repeatedly highlighting it, resulting in share price reacting negative. Infact, many banks like Federal, have not stated Gross NPA with SC order in its note, but Media has not questioned.
In the past same Media played dirty by highlighting filmsy points, of Rent paid of Rs. 3 crore by UPL and some selling by the Promoter in Bharti Airtel, about 3 months back, which resulted in share price falling by 40% in a week, but to see it rising by 50% or more thereafter in next couple of months. Few insiders say that Media people are involved in own money making game, or they are colluded with big players, who acquire the share at lower levels, while Media people get accommodated as well by such big players, SEBI having recently passed an order of unlawful money made by one Media fellow, of Rs. 3 crore, as found by SEBI on investigation of his few trades for a brief period only.
So, investors need to remain alert and must be able to smell foul play of Media. Good fundamentals of stock will see it recovering, as TRUTH and FUNDAMENTALS always win. So, develop conviction and hold it, as past precedents of Vedanta, UPL, Bharti Airtel and HDFC Bank are few examples seen in last 3-4 months.