Axis Bank Share Price Today Slumps Over 4% As NIM Recovery Gets Pushed Back, Despite Strong Long-Term Returns; Here’s Why

Axis Bank Share Price Today: On the 16th of December, a Tuesday, Axis Bank’s stock made a strong impression on Dalal Street, where it was sold heavily after the management indicated that the recovery of net interest margins (NIMs) could be delayed by about two quarters. The news was not well received by the market.

Very soon, Axis Bank found itself among the worst-performing stocks on the index, thus dragging the benchmarks considerably lower. The stock lost up to 4.12%, reaching an intraday low of ₹1,231.25 on the BSE.

It was a bad day for investors, just when market sentiment was turning positive, the issue of margins arose again. Is this a one-off shock or a sign of tougher times to come for the banking giant?

Axis Bank Share Price Today: Why Is The Stock Price Falling?

Axis Bank has surprised investors with an unanticipated change in the narrative, and the market rejected it. As per various media reports, the top management of the bank communicated to global brokerage house Citi Research that the net interest margins (NIMs) might reach the lowest level only in the fourth quarter of FY26 or even the first quarter of the next fiscal year, instead of the previously anticipated third quarter of FY26. In market language, this is a delay that was not foreseen by investors.

This has a significant impact because NIMs are the main factor determining the bank’s profitability. A change in recovery timelines leads to a drop in confidence. The changed scenario opened up the following questions: Will the growth in earnings be further slowed? Are the margins getting tighter than what was thought? Investors naturally picked the caution side over the optimism, which led to a sell-off.

Is this merely a timing problem, or a sign of continuous stress? The market is keeping a close eye on it.

Axis Bank Share Price: Financial Performance