IndusInd Bank shares fall to a 52-week low after multiple analyst downgrades, price target cuts

As a result, UBS has cut its IndusInd Bank’s Earnings per Share (EPS) estimates for financial year 2026 – 2027 by 10.5%.

BofA Securities has double downgraded the stock to an “underperform” from its earlier rating of “buy” and also cut its price target to ₹850 from ₹1,250 earlier.

The brokerage worries that it might take 12-18 months to get clarity around the bank’s management and future strategic decisions. BofA added in its note that a re-rating for IndusInd Bank is unlikely until more clarity emerges.Jefferies has also cut its price target on IndusInd Bank to ₹1,080 from ₹1,200 earlier but maintained its “buy” recommendation on the stock.

The brokerage said that the RBI’s move to give only a one-year extension may prompt the bank to begin the succession process. It expects the stock to remain rangebound until succession clarity emerges and stability is achieved on the MFI and Auto Loan segments.

However, it retained its “buy” rating citing attractive valuations.

Citi has maintained its “buy” rating as well on IndusInd Bank with a price target of ₹1,375. It said that the uncertainty surrounding the continuity of the current MD & CEO beyond this period will mostly remain a concern.

For the next year, Citi said that two key questions for IndusInd Bank will be “Who’s next?” and “What’s next?”

Out of then 51 analysts that have coverage on IndusInd Bank, 30 of them still have a “buy” rating on the stock, 15 said “hold”, while six of them have a “sell” rating. Consensus estimates of price targets imply a potential upside of 24% on the stock.

Shares of IndusInd Bank fell are trading 4.5% lower at the start of trade on Monday, having made a 52-week low of ₹897.1. The stock is down over 40% from its recent peak of ₹1,576.