Small-Cap bank surges with a whopping 1,623 per cent profit growth and declares stellar dividend!

Watch out for top 4 mutual funds that would be in focus now!

On Friday, the benchmark indices ended the trading session flat. BSE Sensex Index was up by 0.20 per cent and NSE Nifty-50 was up by 0.10 per cent.

Despite the market trading flat, one of the Top Gainers on BSE, shares of South Indian Bank zoomed 11.58 per cent to an intraday of Rs 18.20 per share from its previous closing of Rs 16.31. At 03:30 pm, shares of the company ended the day in green, up 8.28 per cent to Rs 17.66 per share.

The company had broken all the records in the financial year 2022-2023 and ticks all the boxes with amazing numbers. According to the quarterly consolidated results, the net sales increased by 21 per cent and net profit increased by 23 per cent in Q4FY23 over Q4FY22.

In FY23, net sales increased by 10 per cent and net profit skyrocketed by 1,623 per cent over FY22. Additionally, the company has announced a 30 per cent final dividend. The earning per share (EPS) is Rs 3.41.

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South Indian Bank provides retail and corporate banking, para-banking activities such as debit cards and third-party financial product distribution, in addition to Treasury and Foreign Exchange Business.

The stock has a PE of 4.79x whereas the sectoral PE is 15x. The stock gave multibagger returns of 140 per cent in just 1 year whereas BSE Small-cap Index is up by 18 per cent. The shares of the company saw a spurt in volume by more than 6.26 times on BSE.

Top 4 Mutual Funds in focus are:

Investors should keep an eye on this banking sector stock.