Axis Bank Share Price Today: Nomura Turns Overweight as CRO Change and NCD Issue Shape 2026 Outlook

Mumbai | 2 December 2025

Axis Bank Limited’s stock spent Tuesday trading just below record territory as global brokerage Nomura named it its top pick in Indian banking, even as the broader market came under pressure from selling in bank stocks and foreign institutional outflows. ^[1]

Axis Bank share price today (2 December 2025): near highs, modestly off peak

On 2 December 2025, Axis Bank shares traded in a tight band around the ₹1,265–₹1,280 zone on the NSE. Intraday data show:

Range: roughly ₹1,264–₹1,281 per share ^[2]
Live mid‑session quote: about ₹1,267–₹1,271, with the Economic Times liveblog showing last traded price of ₹1,267.4 around 12:21 pm IST ^[3]
Previous close: ~₹1,275–₹1,276 on 1 December 2025 ^[4]
52‑week range: low near ₹933.50 and high of ₹1,304, hit on 27 November 2025 ^[5]

At current levels, the stock trades roughly 3% below its 52‑week high and about 36% above its 52‑week low. ^[6]

On valuations, liveblog data and fundamental screeners suggest:

Market capitalisation: ~₹3.93 lakh crore
Trailing P/E: around 14.8–15.1x
TTM EPS: about ₹84 per share
P/BV: roughly 2x based on book value near ₹670 per share ^[7]

Those metrics place Axis Bank broadly in line with, or slightly cheaper than, large private‑sector banking peers on earnings and book multiples.

Market context: Bank stocks drag indices even as Nomura calls for sector re‑rating

Benchmark indices opened weak on Tuesday, with both the Sensex and the Nifty slipping as bank stocks led the decline and FIIs continued to sell. PTI reports flagged Axis Bank alongside HDFC Bank and ICICI Bank among the major laggards in early trade, as the Nifty Bank index cooled after recent record highs. ^[8]

In sharp contrast to the intraday nervousness, Nomura has turned meaningfully constructive on Indian banks in a note dated 2 December 2025, arguing that the sector is at the start of an “earnings‑led re‑rating” cycle: ^[9]

The brokerage believes the profitability down‑cycle is largely done, with several quarters of NIM (net interest margin) compression now behind the sector.
It expects NIMs to improve by ~17 bps between FY26 and FY28, helped by repricing of term deposits and an improving mix of higher‑yielding assets.
System credit growth is projected to accelerate to 13–14% by FY26–27, from ~10–11% currently, as unsecured retail stress moderates and corporate lending revives.
Sector earnings are forecast to grow at about 16% CAGR over FY26–28, more than double the estimated pace for FY24–26.

Crucially for investors, Nomura notes that Indian banks trade at around 2.1x one‑year forward book value—roughly an 8% discount to their long‑term average despite healthier balance sheets and higher return ratios. ^[10]

Within this backdrop, Axis Bank is Nomura’s top pick in the sector, ahead of ICICI Bank and SBI. The firm highlights Axis for: ^[11]

improving loan growth,
stable but gradually strengthening asset quality, and
still‑reasonable valuations versus its private‑bank peers.

Q2 FY26 results: strong franchise, but profit hit by higher provisions

The most recent quarterly numbers (Q2 FY26, quarter ended September 2025) remain the key fundamental anchor for Axis Bank’s story.

According to the bank’s results and investor presentation: ^[12]

Standalone net profit fell about 26% year‑on‑year to ₹5,090 crore, primarily because provisions jumped sharply compared to the year‑ago quarter. Profit was also lower sequentially.
Net Interest Income (NII) grew a modest 2% YoY to around ₹13,744 crore.
Operating profit (pre‑provisions) declined about 3% YoY to a little over ₹10,400 crore, reflecting higher operating expenses and compressed margins.
Fee income remained a bright spot, rising roughly 10% YoY to about ₹6,000 crore, with retail fees making up more than 70% of total fee income.

Margins and asset quality

Margins have been under pressure but appear to have stabilised:

The net interest margin came in at 3.73% for Q2 FY26, down from almost 4% a year earlier, but broadly flat versus Q1 on a like‑for‑like basis. ^[13]

Asset quality, however, is in reasonably good shape:

Gross NPA ratio:1.46% (down QoQ, roughly flat YoY)
Net NPA ratio:0.44%
Provision coverage ratio: about 70% on reported NPAs, and roughly 147% on an aggregated basis including additional management overlays. ^[14]

The pain is very much in provisions, not in underlying growth:

Provisions and contingencies surged around 61% YoY to roughly ₹3,547 crore, including a one‑time standard‑asset provision of ₹1,231 crore on two discontinued crop‑loan products following RBI advice. This is expected to be written back over time as those loans run off or are repaid, but it drags current‑period profit. ^[15]

Balance sheet growth

Axis Bank continues to expand its balance sheet at a double‑digit clip: ^[16]

Total balance sheet size grew about 11% YoY to ₹16.8 lakh crore.
Total deposits rose ~11% YoY, with term deposits growing faster than CASA, keeping the CASA ratio at roughly 40%.
On a quarterly‑average basis, deposits grew 3% QoQ and 10% YoY, signalling stable funding momentum.
Advances expanded 12% YoY and 5% QoQ to ~₹11.16 lakh crore. Retail loans form about 57% of total advances, with a heavy tilt to secured segments (home loans around a quarter of the retail book).

The bank’s capital position is comfortable, with: ^[17]

Total capital adequacy ratio (CAR): ~16.55%
CET1 ratio: about 14.4%, up slightly YoY
Liquidity coverage ratio around 119%

Net‑net, Q2 FY26 showed that Axis Bank remains a well‑capitalised, growth‑oriented franchise but is temporarily absorbing elevated provisions—partly regulatory in nature and partly due to higher slippages.

Management change: new Chief Risk Officer from 1 January 2026

Alongside the macro and earnings narrative, governance and risk management are in the spotlight after Axis Bank announced a change in its Chief Risk Officer (CRO).

On 2 December, the bank confirmed the appointment of Anand Viswanathan as CRO for a three‑year term starting 1 January 2026. He currently heads market, liquidity and enterprise/model risk for the bank and has over two decades of risk and markets experience. ^[18]

He will replace Amit Talgeri, who completes his second term as CRO on 31 December 2025 and will leave the bank in January 2026. ^[19]

From an equity‑holder’s perspective:

The transition appears planned rather than abrupt, with the successor drawn from within the bank’s existing risk leadership.
Talgeri has been widely credited with strengthening Axis’s risk architecture in recent years; continuity in that framework will be something investors track closely. ^[20]

This change comes at a time when regulators, rating agencies and investors are all heavily focused on risk controls in areas like unsecured retail lending and microfinance—segments that Nomura also flags as having moved past the worst of their stress. ^[21]

₹5,000 crore NCD issue: locking in long‑term funding

To support balance‑sheet growth and diversify funding, Axis Bank recently allotted ₹5,000 crore of non‑convertible debentures (NCDs) on a private placement basis.

Key details from exchange filings and deal commentary: ^[22]

Issue size: 5,00,000 NCDs (Series‑9) aggregating to ₹5,000 crore
Coupon:7.27% per annum
Tenor: maturing in 2035 (roughly a 10‑year instrument)
Security: rated senior, fully paid debentures

This strengthens the bank’s long‑term funding profile and should help it fund loan growth without over‑reliance on shorter‑tenor wholesale borrowings. Cost of funds remains a watchpoint—but recall that Q2 FY26 actually saw the bank’s cost of funds fall by around 30 bps YoY and 24 bps QoQ, suggesting some easing of pressure even as deposit competition stays intense. ^[23]

Analyst forecasts: mild upside with broadly positive stance

Across multiple platforms, consensus forecasts on Axis Bank skew positive but not euphoric, with most brokers seeing mid‑single‑digit to high‑single‑digit upside over the next 12 months from current levels.

Street targets and ratings

Trendlyne’s aggregation of domestic broker reports (as of 2 December 2025) shows a consensus target price around ₹1,374, implying roughly 8.5% upside from a last‑traded price near ₹1,266. The consensus stance is “Buy”. ^[24]
TipRanks, tracking nine analysts over the past three months, reports an average 12‑month target near ₹1,374, with a high of about ₹1,450 and low around ₹1,285, translating to ~6–7% upside versus a reference price around ₹1,287. It tags the stock as a “Moderate Buy.” ^[25]
Yahoo Finance’s analyst summary points to an average target close to ₹1,369, with a wider range between ₹1,180 (low) and ₹1,600 (high), again suggesting mid‑single‑digit upside from a price in the ₹1,265 area. ^[26]
Investing.com’s consensus estimates show a more conservative target around ₹1,300, but individual brokers are more aggressive: for example, UBS has upgraded Axis to a “Buy” with a ₹1,500 target, while Nomura maintains a bullish stance with a ₹1,440 target. Other brokerages such as ICICI Securities and Investec also sit in the ₹1,350–₹1,450 band. ^[27]

Across these sets, the broad picture is:

Analysts largely expect Axis Bank to outperform or at least track the market,
but they also recognise that the stock has already rerated significantly from the lows, limiting near‑term upside unless earnings or margins surprise positively.

Of course, targets are opinions, not guarantees; they tend to move quickly when macro conditions or earnings trajectories change.

Earnings and growth outlook: double‑digit expansion with improving ROE

Forward‑looking models suggest Axis Bank can continue to grow both earnings and revenue at a solid clip.

Independent fundamental platforms estimate that: ^[28]

Revenue and earnings could each grow at roughly 13–14% per annum over the next few years.
EPS is projected to rise at around 14% per year, supporting a forecast ROE in the mid‑teens (about 14–15%).

These numbers sit comfortably above broader Indian banking sector averages, which some models peg closer to ~11% earnings growth. ^[29]

Axis’s own disclosures reinforce that narrative:

It is gaining market share in deposits and advances, especially in SME, small‑business and mid‑corporate segments. ^[30]
Retail remains skewed to secured lending (home loans, LAP, etc.), with unsecured exposures carefully monitored. ^[31]
The bank has a strong payments and digital platform, including a leading position in UPI Payer PSP volumes and a highly rated mobile app, which can drive low‑cost customer acquisition and fee income. ^[32]

Put simply, if margins stabilise and credit costs normalise toward management and Street expectations, the current capital base is capable of supporting healthy compounding in book value per share.

Technical setup and derivatives: 1300 strike in focus

From a shorter‑term trading perspective, several technical and derivatives indicators centre around the ₹1,300 level:

A recent technical note from StockInvest flagged a sell signal from a pivot top around late November, with the stock easing slightly from its 52‑week high even as volumes picked up on down days—usually a sign to watch for near‑term consolidation. The same service notes a prior “Golden Star” bullish signal in April 2025 on longer‑term charts, which still underpins the broader uptrend. ^[33]
Derivatives trackers and options analytics show heavy interest at the ₹1,300 strike for the December 2025 expiry. MarketsMojo highlights active call option trading at this strike as the stock pushed to fresh highs, while a follow‑up note also mentions significant put option open interest at the same level, suggesting traders see ₹1,300 as a key battleground for bulls and bears heading into year‑end. ^[34]

Broadly, the technical picture looks like:

Trend: still upward on multi‑month timeframes;
Near term: the stock may consolidate just below its highs, especially if broader bank‑index sentiment remains fragile;
Key zone: ₹1,250–₹1,300 is shaping up as an important support‑resistance band watched by both cash‑equity and derivatives traders.

Shareholding and governance: FIIs easing, DIIs stepping in

One subtle but important medium‑term trend is the shift in ownership mix: ^[35]

Promoter holding has settled around 8.2%.
Foreign institutional investors (FIIs), once above 50%, now hold roughly 42% of the stock after a gradual reduction.
Domestic institutional investors (DIIs)—mutual funds, insurers, etc.—own about 43%, a sharp rise over recent years.

This transfer of ownership from global funds to domestic institutions can have implications for stock volatility and voting on strategic decisions, but it also suggests Indian institutions remain confident in the franchise even as FIIs tactically reduce exposure.

Key risks and what investors will watch in 2026

Despite the broadly constructive narrative, several risks and watchpoints remain front‑and‑centre:

Margin recovery is not guaranteed
- NIMs have compressed from ~4% to 3.7–3.8% over the past year. A slower‑than‑expected improvement in funding costs or a more aggressive rate‑cut cycle could keep margins under pressure longer than the Street currently expects. ^[36]
Credit costs and unsecured retail
- Q2 FY26 provisions were elevated, partly due to regulatory overlay on discontinued products. If slippages in retail, cards or microfinance tick up again, the hoped‑for decline in credit costs could be delayed. ^[37]
Regulatory and macro environment
- Banking stocks are highly sensitive to RBI policy, liquidity conditions and any changes in capital or provisioning regulations.
- FIIs have been net sellers of Indian equities in recent sessions; extended outflows could weigh on valuations even if fundamentals remain solid. ^[38]
Execution on growth and digital strategy
- Axis Bank’s thesis now rests on profitable growth, not just growth. That requires continued execution in deposits, digital, SME and mid‑corporate lending, as well as smooth management transitions at senior levels like the CRO role. ^[39]

Bottom line: High‑quality franchise near the top of its range

Putting it all together:

Price action: Axis Bank trades just under all‑time highs, in a narrow range, with valuations slightly below long‑term sector averages on forward book but no longer “cheap” on trailing earnings. ^[40]
Fundamentals: The bank continues to deliver double‑digit loan and deposit growth, solid digital and fee‑income momentum, and relatively clean asset quality, albeit with a temporary hit from elevated provisions. ^[41]
Street view: Most analysts remain constructive, with consensus price targets clustered around ₹1,350–₹1,380 and classification in the Buy/Moderate Buy bucket, mirroring Nomura’s sector‑bullish stance that explicitly puts Axis at the top of its pecking order. ^[42]

For investors and traders tracking Axis Bank on 2 December 2025, the message is straightforward: this is a quality private bank priced for continued, but not flawless, execution. Upside from here likely depends on how quickly margins and credit costs normalise and whether India’s banking re‑rating that Nomura anticipates actually plays out over the next two to three years.

References

Lloyds Banking Group (LLOY) Near £1 After BoE Stress Test: Share Price, Latest News and 2026 Outlook

BP Stock December 2025: Buybacks, Hydrogen U‑Turn and Oil Pivot – Latest News, Price Targets and 2026 OutlookBPBP Stock December 2025: Buybacks, Hydrogen U‑Turn and Oil Pivot – Latest News, Price Targets and 2026 Outlook

Diageo plc Stock Outlook for December 2025: Can the Guinness Maker Recover From Its Profit Warning?