Shares of IDBI Bank fell more than 15% on Monday after reports said the Indian government might cancel its plan to sell a majority stake in the bank. The fall happened because the bids from investors were lower than the price the government wanted, which could stop the sale. The plan, started in 2022 by the government and Life Insurance Corporation of India (LIC), was to sell around 60.7% of the bank’s shares.

 If the sale is canceled, the current process will stop, but the government may try again later when market conditions are better and higher bids are received. The news was reported by major outlets like Reuters and Bloomberg. Following the news, the stock exchange sought clarification from the bank to confirm the media reports.

Financial Performance
Despite the recent market turbulence, IDBI Bank’s underlying financial performance has remained broadly stable. In Q3FY26, the bank reported revenue of ₹7,080 crore, slightly down from ₹7,109 crore in Q2FY26. Operating profit, however, declined significantly to ₹1,950 crore from ₹3,146 crore in the previous quarter, primarily due to higher operating costs and margin pressures.

Net profit stood at ₹1,959 crore, down from a peak of ₹3,240 crore in Q2FY26, though it remains largely in line with historical levels. Over the past five quarters, revenue has stayed range-bound between ₹6,982–₹7,819 crore, while profits showed volatility, highlighting fluctuating cost efficiencies.

Recent Share Performance: Sharp Corrections
IDBI Bank shares trading at ₹78.61 on 16 March 2026, down (14.74%) on the day, reflecting significant selling pressure. Over the past five days, the stock has dropped 21.43%, with a one-month decline of 29.74%.

Six-month losses stand at 15.74%, while year-to-date decline reaches 24.24%. Despite these near-term setbacks, the stock has gained 7.79% over the past year. The sharp short-term falls underline market sensitivity to developments around the government’s stake sale.

Technical summary

IDBI Bank Limited is currently trading around ₹ 78.60, declining about 14.74%, and remains positioned well below its 50-day Simple Moving Average near ₹ 105.24, which continues to act as an important technical reference for the broader trend. The recent price structure reflects a sharp corrective move after a prior upward phase, with the stock witnessing significant downside momentum on the daily chart.

Momentum indicators also remain weak, with the 14-day RSI near 22.11, indicating deeply oversold conditions following the recent decline. Immediate support is seen around ₹ 70.00–₹ 65.00, while ₹ 90.00–₹ 105.00 may act as a resistance zone, which could influence the next directional move.

Outlook
Looking ahead, IDBI Bank’s near-term direction will largely depend on developments regarding the government’s stake sale. If the disinvestment process resumes under improved market conditions, it could provide a positive catalyst. Meanwhile, the bank’s steady revenue generation and historical profitability suggest that fundamentals remain intact, offering potential stability for long-term investors once the uncertainty around the stake sale eases.