Private sector bank stocks edge higher: HDFC Bank, Yes Bank, ICICI Bank, RBL gain up to 6%

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Published: September 9, 2019 12:47:19 PM

Private sector bank shares including HDFC Bank, ICICI Bank and Yes Bank shares are trading higher, aiding the Sensex and Nifty to extend gains on Monday afternoon.

Ajanta Pharma, pharma stocks, अजंता फार्मा, Ajanta Pharma Stock, billionaire stock, crorepati stock, should you buy ajanta pharma stockICICI Bank shares emerged as the biggest contributor to Sensex gains, as the shares surged more than 2.2% to hit intra-day high of Rs 400.30.

Private sector bank shares including HDFC Bank, ICICI Bank and Yes Bank shares are trading higher in the afternoon trade on Monday, helping the headline indices Sensex and Nifty to extend gains. Yes Bank shares gained more than 2.6% to hit the day’s high at Rs 62 on BSE. ICICI Bank shares emerged as the biggest contributor to Sensex gains, as the shares surged more than 2.2% to hit intra-day high of Rs 400.30. The rally in the shares contributed to more than 40 points gain on the Sensex. HDFC Bank and HDFC were also among the top 5 gainers in the Sensex pack, together contributing to about 50 point gain in the index.

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Track live stock price: Yes Bank, HDFC Bank, ICICI Bank

Notably, the Nifty Bank Index is trading 1% higher led by RBL Bank, Federal Bank, Yes Bank and ICICI Bank gaining more than 2.5% each. RBL Bank emerged as the top gainer in Nifty Bank index, surging 5.5% to Rs 355.50. The rally in private sector shares come after analysts say that the lenders are poised to gain in the aftermath of the government’s mega PSU merger drive. “SBI and Bank of Baroda along with the leading private banks (Axis Bank, ICICI Bank and HDFC Bank) would be in a stronger position for the next few years, while transition issues rankle other public sector banks,” Kotak Securities said in a recent note.

Last week, Nilesh Shah of Kotak AMC pointed out that the combined market capitalisation of all PSU banks has fallen below the amount of money these state-run lenders have received from the government in the last five year by way of recapitalisation. The market cap of PSU banks, excluding SBI, fell to Rs 2.3 lakh crore, which is less than the Rs 2.5 lakh crore bank recapitalisation given out in the last five years, Nilesh Shah, MD, Kotak Mahindra AMC, said on Twitter.

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