Axis Bank Share Price Falls 4.7% to 7-Week Low

On March 11, Axis Bank, the country's fourth-largest private sector lender, saw a significant decline in its share price, falling 4.7% to a day's low of ₹1,252.80 per share. This marked the largest intraday decline since mid-December, when the stock crashed 5%.

Market Capitalisation

The decline in share price resulted in the company's market capitalisation falling below ₹4 lakh crore. Specifically, the drop in share price wiped out ₹19,016 crore of the bank's market value, bringing it down to ₹3,89,270 crore. This represents a significant decline from the previous close of ₹1,314 per share, which had a market capitalisation of ₹4,08,286 crore.

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Long-Term Performance

Despite the recent decline, Axis Bank's shares have shown a strong long-term performance. Over the past five years, the shares have risen from ₹620 apiece to ₹1,269, delivering a return of 104%.

Short-Term Performance

However, the bank's shares have been under pressure since late February, resulting in a 10% decline in just nine trading sessions. This represents the largest one-way slide for a large-cap stock in such a short period.

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Impact on Market Performance

The decline in Axis Bank's share price has significantly weighed on the overall market performance, as it is a key heavyweight in the Nifty 50. The broader market is also witnessing a sell-off amid escalating tensions in the Middle East, which have pushed crude oil and gas prices to multi-year highs.