City Union Bank Shares Hit 52-Week High After Q1 Profit Rises 16%

Shares of City Union Bank Ltd. surged over 9% to hit a 52-week high on Monday, after its profit surged over 16% in the quarter ended June 2024.

The bank's net profit surged 16.4% year-on-year to Rs 264 crore for the June quarter, according to an exchange filing. The lender's gross NPA came down to 3.88%, compared to 3.99% in the last quarter of fiscal 2024. Net NPA also eased to 1.87% versus 1.97% a quarter ago.

The board of City Union Bank also approved raising up to Rs 500 crore via qualified institutional placements.

Shares of the bank rose as much as 9.38% during the day to 52-week high of Rs 174.80 apiece on the NSE. It was trading 7.21% higher at Rs 171.36 apiece, compared to a 0.47% advance in the benchmark NSE Nifty 50 as of 11:29 a.m. 

The stock has risen 28.60% in the last 12 months and 14.86% on a year-to-date basis. The total traded volume so far in the day stood at 5.2 times its 30-day average. The relative strength index was at 63.94.

Nineteen out of the 24 analysts tracking City Union Bank have a 'buy' rating on the stock, two recommend a 'hold' and three suggest a 'sell', according to Bloomberg data. The average of 12-month analyst price targets implies a potential upside of 4.2%.