SOUTHBANK.NS Stock Today: Q3 Profit, Deposits Lift Outlook (January 17)
South Indian Bank share price is in focus today after Q3FY26 results showed a profit of ₹374 crore, 19% YoY NII growth, and better asset quality. We review SOUTHBANK.NS with an India-first lens, covering deposits, guidance, and key trading levels. With GNPA at 2.67% and management sticking to >12% loan growth for FY26, the setup looks constructive. We also map the immediate support and resistance zones to help investors frame near-term expectations while tracking fundamentals that can influence price action.
Q3FY26 results: profit, deposits, and asset quality
South Indian Bank reported Q3FY26 PAT of ₹374 crore, backed by 19% YoY growth in net interest income and steady operating performance. The update released on January 15 highlights resilient core profitability and improved balance-sheet health, which can support the South Indian Bank share price trend if sustained. See details in the Upstox report.
Retail and NRI deposits crossed ₹1.49 lakh crore in Q3, indicating rising customer stickiness and diversified liability traction. Stronger CASA and granular retail/NRI flows lower funding risk and help protect margins. A healthier deposit profile is positive for the South Indian Bank share price as credit growth scales. Read more in The New Indian Express coverage.
Gross NPA improved to 2.67%, reflecting better recoveries and prudent underwriting. Lower stress enhances earnings visibility by containing credit costs and supporting return metrics. If this asset quality improvement holds, it can aid valuation re-rating and support the South Indian Bank share price through the year, especially as growth in secured segments continues.
Share price today: levels and technical view
The stock traded between ₹40.41 and ₹42.66 today, with a 52-week high at ₹45.17 and low at ₹22.30. It is up 15.98% YTD and 64.88% over one year, after a roughly 5% rise earlier this week. These gains, alongside improving fundamentals, keep interest elevated in the South Indian Bank share price near prior highs.
RSI at 60 suggests positive momentum, while ADX at 27.41 indicates a strong trend. MACD remains in the green with a positive histogram (0.37). Price sits above the 50-DMA near ₹39.37 and the 200-DMA near ₹32.11. Staying above these trend lines supports the South Indian Bank share price bias on dips.
Immediate resistance sits near the Bollinger upper band at ₹42.62 and the 52-week high at ₹45.17. Supports are near the middle Bollinger band at ₹39.52 and the 50-DMA at ₹39.37. ATR of 1.34 points to active swings. Traders should respect these zones while monitoring volumes for confirmation of a breakout.
Outlook, guidance, and valuation check
Management reiterated >12% FY26 loan growth, led by gold loans and MSME, with an aim to defend NIMs. Continued deposit traction and operating discipline should aid earnings stability. If execution holds, we see a supportive backdrop for the South Indian Bank share price as credit expansion and mix improve through FY26.
On current metrics, the stock trades near 8.48x TTM EPS of ₹5.19 and ~1.11x book, with a dividend yield around 0.91%. Our model-grade shows B+ (suggested BUY), though another model flags C+ (Sell). Divergent models imply investors should rely on data and discipline when assessing the South Indian Bank share price.
Key risks include funding costs pressuring NIMs, MSME stress in a slower macro, and regulatory changes. Monitor GNPA trends, CASA mix, and NIM prints in Q4. Sustained asset quality improvement and stable margins should help the South Indian Bank share price, while adverse slippages or deposit repricing could cap upside.
What it means for Indian investors
Improving asset quality, stronger retail/NRI deposits, and a clear growth path position the bank well for FY26. Reasonable valuation multiples also offer comfort. For long-term investors, accumulating on dips near support zones may be sensible, provided risk limits are set and the South Indian Bank share price is tracked against earnings delivery.
Near-term focus is on ₹42.62–₹45.17 resistance and ₹39.52–₹39.37 support. A decisive move above resistance with volume can extend momentum, while failure could trigger pullbacks toward the 50-DMA. Given ATR-driven volatility, traders should size positions prudently and avoid chasing spikes in the South Indian Bank share price.
Exposure to regional banks should be sized within an overall financials allocation and diversified across lenders. Investors can pair growth names with stable compounders to balance risk. Maintain staggered entries and review quarterly updates to align the South Indian Bank share price view with evolving fundamentals.
Final Thoughts
Q3FY26 delivered profit of ₹374 crore, 19% NII growth, and GNPA at 2.67%, while retail and NRI deposits scaled up. Management’s >12% loan growth plan, focus on gold and MSME, and margin defense create a constructive setup. Technically, price is above key moving averages, with resistance near ₹45.17 and supports around ₹39.5–₹39.4. Valuation remains reasonable at ~8.5x earnings and ~1.1x book. Actionable takeaway: track Q4 asset quality, NIMs, and deposit momentum. Consider staggered entries near support zones and reassess if slippages rise or the South Indian Bank share price fails to clear resistance on strong volume.
FAQs
Is the South Indian Bank share price attractive after Q3FY26?
Q3 strength in profit, NII, deposits, and GNPA at 2.67% supports the bullish case. Valuations near 8.5x earnings and ~1.1x book are reasonable. Watch for a breakout above ₹45.17 with volume for momentum confirmation. Use defined risk levels near ₹39.5–₹39.4 to manage short-term volatility.
What drove South Indian Bank earnings this quarter?
Higher net interest income (+19% YoY), better asset quality, and steady operating performance lifted profitability to ₹374 crore. Stronger retail and NRI deposit traction supported funding stability. Management aims to keep NIMs resilient while pursuing >12% FY26 loan growth, led by gold loans and MSME lending.
Which indicators matter most for short-term moves in the share price?
Key levels are ₹42.62 and ₹45.17 as resistance, and ₹39.52–₹39.37 as support. RSI around 60 and ADX near 27 signal a positive, strong trend. A sustained close above resistance with volume can extend gains, while a drop below supports may invite profit-taking.
What risks could weigh on the South Indian Bank share price?
Rising deposit costs could pressure NIMs, while MSME stress might raise slippages. Regulatory actions and macro slowdowns are additional risks. If GNPA trends reverse or deposit growth slows, valuation re-rating could stall. Monitoring quarterly NIMs, GNPA, and CASA is essential.
How should investors in India approach position sizing here?
Consider staggered entries rather than lump-sum buys, with allocations sized within your financials exposure. Use supports around ₹39.5–₹39.4 as reference for risk control. Reassess if earnings miss guidance or the stock fails to hold above the 50-DMA, affecting the South Indian Bank share price.
Disclaimer:
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.
