Indian Bank shares slip 15% from all time high — What should investors do?

Shares of Indian Bank Ltd declined on Thursday, slipping 2.64 per cent to settle at Rs 852.95. At this level, it has corrected 14.70 per cent from its all-time high of Rs 1,000.05, touched on April 15.

Despite the recent pullback, the PSU bank stock has gained 52.83 per cent over one year and rallied as much as 675.76 per cent over five years.

On the earnings front, Indian Bank reported a 4.97 per cent year-on-year (YoY) rise in net profit at Rs 3,103 crore for the March 2026 quarter, compared with Rs 2,956 crore in the corresponding period last year. Net Interest Income (NII) grew 11.27 per cent YoY to Rs 7,109 crore from Rs 6,389 crore.

The bank’s business growth remained healthy, with total deposits rising 12.29 per cent YoY to Rs 8,27,726 crore in March 2026, as against Rs 7,37,154 crore a year ago. Current account, savings account (CASA), and overall CASA deposits increased by 12.16 per cent, 10.64 per cent, and 10.85 per cent YoY, respectively.

Asset quality improved during the quarter. Gross non-performing assets (GNPA) ratio declined by 111 basis points (bps) YoY to 1.98 per cent from 3.09 per cent, while net NPA (NNPA) ratio eased to 0.15 per cent from 0.19 per cent.

Commenting on the outlook, Kranthi Bathini, Equity Strategist at WealthMills Securities, stated that the state-owned lender posted a decent set of numbers in Q4 FY26, adding that investors can hold on to the stock.

From a technical perspective, the near-term support range is seen between Rs 800 and Rs 780, while a breakout above the Rs 860-880 range is required for a bullish trend.

Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, noted, “Indian Bank has exhibited a technical breakdown from its pattern of higher lows, declining nearly 7 per cent (intraday) and approaching its 200-day SMA. This development has weakened the near-term outlook, indicating potential consolidation or further downside. Immediate support is seen in the Rs 800–780 zone, which may provide a cushion against additional declines. On the upside, only a decisive move above the Rs 860–880 range would restore confidence and signal a resumption of the broader uptrend.”

Jigar S Patel, Senior Manager – Technical Research at Anand Rathi, stated that support is seen at Rs 800, while resistance is placed at Rs 860. A decisive move above Rs 860 could push the stock towards Rs 875, with the expected short-term trading range between Rs 800 and Rs 875.

Meanwhile, domestic benchmarks were closed on Friday for Maharashtra Day.