Bank of Baroda (BoB) share price at 9-year high. Experts see more rally

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₹155 in first week of February and since then it has been climbing to new highs on a regular basis. Following this trend, BoB share price today surged to a new 52-week high of RS 227.55 apiece on NSE and came close to its life-time high of ₹228.90 per shares that it had made in January 2015. So, while climbing to a new 52-week high, BoB share price came close to 9-year high during Monday stock market deals.

However, experts are expecting more upside in this PSU bank share. Also Read: Multibagger IT stock hits life-time high after this acquisition update According to stock market experts, Bank of Baroda board has declared to generate fund to the tune of ₹2500 crore via Basel III bonds. This bond is the major reason for this state-owned banking stock climbing to its 9-year high.

They said that a bank issues such long-term maturity bonds when they see credit growth. So, this Capex growth is the major reason for rise in BoB share price today. They went on to add that BoB is a 'portfolio stock' and one should keep this stock for at least one to two years.

Also Read: SBI shares extend gains for second day, hit new all-time high; should you buy? Speaking on the reasons that has fueled Bank of Baroda shares these days, Sandeep Pandey, Founder & Director at Basav Capital saod, “Recent buzz in PSU bank stocks after government of India's focus on infrastructure is one of the major reason for continuous uptrend in the BoB shares. However, on 15th December 2023, the state-owned bank has declared to raise ₹2500 ore fund through issuance of Basel II bonds. Generally, a PSU bank issues such a long-term maturity (10-year) bonds when they see credit growth in this time.