Brokerage 'buy' call lifts UTI Bank

DALAL STREET SPIKES

The UTI Bank stock spurted over 7.5 per cent in intra-day deals on Friday on aggressive buying support. According to market sources, the buying streak has been on domestic brokerage recommendations.

The stock closed at Rs 156.95, up 7.46 per cent from its previous close. The share has witnessed an uptrend in the last few days. From a low of Rs 126.95 on September 29, 2004, the scrip has risen more than 24 per cent to Friday's close of Rs 156.95.

The counter on Friday witnessed a volume of more than 4.2 lakh shares on the BSE. Market analysts said the renewed buying is in anticipation of strong second-quarter results of the bank and the buy recommendation by an domestic brokerage firm.

UTI Bank has substantially improved its asset quality in the past two years with its net non-performing assets declining to 1.3 per cent in fiscal 2004 from 3.5 per cent in fiscal 2002.