InvestorQ : Why does the IndusInd Bank stock continue to fall daily? Is there some support level for the stock?
vaishnavi mhatre made post

Why does the IndusInd Bank stock continue to fall daily? Is there some support level for the stock?

Answer
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Crowny Pinto answered.
8 months ago


Ever since the company announced its quarterly results, the focus has been less on the profit numbers and more on the asset quality of IndusInd Bank. Since the time, IndusInd showed a huge divergence in its asset quality, the market has been very sceptical about the quality of assets of IndusInd Bank. That is because, the bank had major exposures to stocks like Jet Airways, IL&FS as well as to Dewan Housing. Even now, the big concern is more on the quality of assets of the bank and the markets are wary that the valuation premium that the stock commanded among the private banking space may not really be justified. As of now it does look like the stock could dip much further from these levels and hence it could be quite dangerous to try and catch the stock at these levels. Wait for it to settle down because when sentiments are negative, support levels don’t really work.