IDBI Bank tumbles on reports of foreign brokerage downgrade

IDBI Bank fell 3.54% to Rs 61.30 at 14:49 IST on BSE on reports a foreign brokerage downgraded the bank's baseline credit assessment to 'B1' from 'Ba3', driven by asset quality woes.

Meanwhile, the S&P BSE Sensex was down 141.91 points or 0.53% at 26,626.58.

On BSE, so far 6.48 lakh shares were traded in the counter as against average daily volume of 7.04 lakh shares in the past one quarter.

The stock hit a high of Rs 63.70 and a low of Rs 60 so far during the day. The stock had hit a 52-week low of Rs 58.55 on 26 September 2014. The stock had hit a 52-week high of Rs 116.50 on 9 June 2014.

The stock had underperformed the market over the past one month till 5 June 2015, sliding 15.55% compared with Sensex's 2.45% fall. The scrip had also underperformed the market in past one quarter, declining 19.51% as against Sensex's 9.1% fall.

The large-cap bank has equity capital of Rs 1603.96 crore. Face value per share is Rs 10.

The foreign brokerage has also reportedly downgraded IDBI Bank's subordinated medium-term notes (MTN) programme and the junior subordinated MTN programme to '(P)B1' and '(P)B2' from '(P)Ba3' and '(P)B1', respectively.

IDBI Bank's net profit rose 5.3% to Rs 545.94 crore on 19.3% growth in total income to Rs 9382.37 crore in Q4 March 2015 over Q4 March 2014.

The Government of India held 76.5% stake in IDBI Bank (as per the shareholding pattern as on 31 March 2015).

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