Bank Of India Shares Plunge Over 8% After Q3 Profit Misses Estimates

Shares of the lender fell as much as 8.55% during the day to Rs 138.60 apiece, the lowest since Feb. 1. It was trading 6.73% lower at Rs 141.35 per share, compared to a 0.25% advance in the benchmark Nifty 50 at 11:00 a.m.

The share price has risen 78.70% in the last 12 months. The total traded volume so far in the day stood at 4.2 times its 30-day average. The relative strength index was at 62.

Two out of four analysts tracking BOI have a 'buy' rating on the stock, one recommends a 'hold' and another suggests a 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential downside of 3.4%.

"There has been some pressure on margin because of the fact that there is liquidity tightness in the system," Rajneesh Karnatak, managing director and chief executive officer of Bank of India told NDTV Profit.

While the margins have been lower on a sequential basis, Karnatak said that on a nine-month basis both margin and NII have improved. He added that he doesn't see the tightness persisting.