Bank of India shares rise 3% post Q1 results; should you buy, sell or hold?

Bank of India share price today: Shares of public sector lender, Bank of India, gained over 3 per cent on Wednesday, July 30, 2025, logging an intraday high of ₹116.10.

 

At 9:45 AM, Bank of India shares were trading at ₹115.19, up by 2.69 per cent on the National Stock Exchange. In comparison, Nifty50 was trading at 24,869.75 level, up by 48 points or 0.19 per cent. At the time of writing this report, around 8.2 million shares had changed hands on the counter, cumulatively, on the NSE and BSE.

 

The buying interest on the counter came after the company released its earnings for the first quarter of the financial year 2025-2026 (Q1FY26). 

 

Bank of India Q1FY26 earnings 

The public sector lender reported a 32.2 per cent year-on-year (Y-o-Y) rise in net profit levels during the quarter ended June 30, 2025, to ₹2,252 crore as compared to ₹1,703 crore reported in the corresponding period of the previous fiscal year. The growth was primarily driven by a healthy rise in advances to ₹5,65,297 crore, during the quarter under review. While global advances increased by 12.02 per cent, retail advances grew by 19.62 per cent. MSME advances also increased by 17.36 per cent.

 

However, Bank of India experienced a slight decline in its net interest income (NII) to ₹6,068 crore in Q1FY26, down by 3 per cent from ₹6,275 crore reported in the same period of the last financial year. Margins came under pressure as the lender's net interest margin (NIM) for the quarter under review stood at 2.55 per cent, as against 2.61 per cent recorded in the previous quarter (Q4FY25). On the asset quality front, gross non-performing assets (NPA) for the quarter stood at 2.92 per cent, down from 3.27 per cent recorded in the previous quarter.

Should you buy, sell or hold?

D-street analysts believe that the lender's increased gross advances signal a steady growth trajectory for Bank of India shares.

 

"Bank of India offers a strong margin of safety for investors, with the stock currently trading below its book value. Meanwhile, investor sentiment remains positive toward the broader public sector banking (PSB) space and the anticipated rate cut by the RBI could further bolster the sector’s outlook," Kranthi Bathini, equity strategist at Wealthmills Securities, said, while maintaining a 'Hold' rating on the stock. 

 

G Chokkalingam, founder and managing director of Equinomics Research, too, pointed out that Bank of India shares are trading at a P/ABV (adjusted book value) of just 0.7x, with NPAs well contained at 0.75 per cent. The bank has also posted solid growth—advances are up 13.7 per cent Y-o-Y. "At nearly a 30 per cent discount to its adjusted book value, the stock looks quite attractive. In our view, Bank of India stands out as a good buying opportunity," he said.