Twenty-one listed banks posted higher stock market returns than the 59 per cent Sensex rise between April 1, 2003 and November 25.
The stock prices of these 21 banks gained between 67.4 per cent and 243.3 per cent, thereby outperforming the benchmark Bombay Stock Exchange's BANKEX, which gained 66.97 per cent (926 points) during the same period.
The appreciation in prices of bank stocks was mostly backed by their sound financial performance and decline in net non-performing assets of these banks.
In percentage terms, the Orinental Bank of Commerce led the list of gainers with a 243.3 per cent rise in the stock price, which increased from Rs 66.10 on April 1 to Rs 226.95 on November 25.
The bank has become a zero NPA entity and posted a 41 per cent rise in net profit to Rs 305 crore (Rs 3.05 billion) in the first half of 2003-04.
During the period, its market capitalisation has increased by Rs 3,097 crore (Rs 30.97 billion) and the daily average trading volumes have spurted from 12.85 lakh (1.28 million) shares in April to 26.85 lakh (2.68 million) shares in November.
The State Bank of Travancore was the second largest gainer with a 163.8 per cent rise in scrip price. Its stock price went up from Rs 416 to Rs 1,097.25.
In the first half of 2003-04, the bank posted a 116 per cent rise in operating profit and a 96 per cent rise in net profit to Rs 115 crore (Rs 1.15 billion).
