Shares of Bank of Maharashtra rallied sharply on Tuesday, hitting a 52-week high and extending gains for a second straight session after the lender reported robust March quarter results

The stock climbed over 6 per cent to touch ₹80.50 and settled at ₹80.18 on the NSE, up from the previous close of ₹75.54, driven by strong investor response to the bank’s earnings performance and growth outlook.

The rally followed a solid set of financial results for the quarter ended March 2026. The bank reported a standalone net profit of ₹2,014.09 crore, marking a significant increase from ₹1,493.08 crore in the same quarter last year. For the full financial year FY26, profit after tax rose to ₹7,019.32 crore compared to ₹5,519.79 crore in the previous year, reflecting sustained business momentum.

Adding to investor sentiment, the board recommended a final dividend of ₹1.20 per share, in addition to the ₹1 interim dividend declared earlier in January 2026 and already paid during the year.

The bank also outlined ambitious capital-raising and funding plans. It approved raising up to ₹7,500 crore through multiple routes including equity issuance via preferential allotment, qualified institutional placement, follow-on public offer, or rights issue, as well as through Basel III-compliant bonds. Additionally, the board cleared plans to issue long-term infrastructure bonds worth up to ₹10,000 crore in FY27 and raise up to USD 500 million through foreign currency bonds in multiple tranches.

Brokerage firm HDFC Securities maintained a positive stance on the stock, citing sustained outperformance backed by strong fundamentals. The firm noted that the bank delivered healthy Q4FY26 earnings driven by robust credit growth of 22 per cent year-on-year, stable margins, and continued improvement in asset quality.

It highlighted that while deposit growth at 14 per cent lagged advances, the bank’s CASA ratio improved significantly to 52.5 per cent, supported by seasonal strength in current account balances. Credit costs remained contained below 1 per cent, with asset quality gains particularly visible in the agriculture segment.

HDFC Securities added that the bank’s strong deposit franchise, aided by a high share of low-cost current account balances, continues to support a superior margin profile. Factoring in higher business growth and better asset quality, the brokerage raised its earnings estimates for FY27 and FY28 by around 4 per cent and reiterated a buy rating on the stock, with a revised target price of ₹90.

The sharp rally in shares underscores investor confidence in the bank’s growth trajectory, supported by improving profitability, strong balance sheet metrics, and continued operational momentum.

Published on April 21, 2026