Why is Equitas Sma. Fin falling/rising?

Sep 15 2025 11:04 PM IST
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As of 15-Sep, Equitas Small Finance Bank Ltd's stock price is Rs 56.86, up 3.23% recently, but it has declined 33.28% over the past year. Despite strong short-term gains and high institutional backing, long-term profitability remains a concern due to consistent negative results.
As of 15-Sep, Equitas Small Finance Bank Ltd's stock price is currently at Rs 56.86, reflecting an increase of Rs 1.78 or 3.23%. The stock has shown a positive trend recently, gaining 4.73% over the last two days and outperforming its sector by 3.2% today. It has also performed well over the past week and month, with returns of +9.07% and +7.38%, respectively. However, the stock has faced challenges in the long term, with a significant decline of -33.28% over the past year and negative results reported for the last five consecutive quarters. The bank's high management efficiency, indicated by a return on assets (ROA) of 1.53% and a strong capital adequacy ratio of 20.81%, contrasts with its recent poor profitability, as profits have fallen by -116.2%.

In the broader market context, the stock's short-term performance has significantly outpaced the benchmark Sensex, which has only increased by 1.24% over the past week. While the stock has shown some resilience in the short term, its long-term performance remains concerning, as it has underperformed the BSE500 over various time frames. The high institutional holdings at 63.43% suggest that knowledgeable investors are still backing the stock, despite its recent struggles. This combination of short-term gains and long-term challenges reflects a complex situation for Equitas Small Finance Bank Ltd, where positive short-term movements may not fully offset the negative trends observed in its financial performance.
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