Fino Payments Bank Shares Rally 9% Intraday

Shares of Fino Payments Bank surged as much as 9% to INR 220.45 during the intraday trading session on the BSE today (March 7).

Today’s rally came two days after the company’s board approved an allotment of 4,100 equity shares under its employee stock option plan (ESOP)

By 12:30 AM, the stock was still going strong, trading 6.83% higher at INR 215.95. At this price, the company’s market capitalisation stood at INR 21,546.14 Cr, with a trading volume of 20 lakh shares.

Despite today’s rally, the stock remains down over 33.69% year-to-date and has dropped 33.95% in the past year at its current price. The stock is also at a downside of 56.65% from its 52-week high mark of INR 466.40 reported in September last year . 

This decline reflects broader market volatility and sector-specific challenges. The stock’s P/E ratio is around 19.7, which is relatively moderate compared to the sector average. 

On March 5, it hit its 52-week low of INR 200.05. 

The company posted a net profit of INR 23.11 Cr in the third quarter of fiscal year 2024-25 (Q3 FY25), up 1.3% from INR 22.80 Cr in the same quarter last year. 

The profit growth was muted due to a tax outgo of INR 5.34 Cr during the quarter under review. The company had no tax expense in the year-ago quarter, while it stood at INR 4.78 Cr in Q2 FY25. 

Founded in 2017, Fino Payments Bank operates on an asset-light business model that relies on fee and commission-based income generated from merchant networks and strategic commercial partnerships.

It also referral loans through partnerships that validate the creditworthiness of customers. The bank has also applied for a small finance bank licence with the Reserve Bank of India.