Go Ahead, Buy PNB at these levels

Go Ahead, Buy PNB at these levels with holding period of 1+ year.
Its trading at 121, almost 50% below the 52-week high of 232.

Its the second largest government bank after SBI, so will have govt backing. Except for temporary setbacks, don’t expect much troubles in the long run.

And of course the mandatory disclaimer: Do it at your own risk, don’t come back to me later :slight_smile: _

Any other thoughts regarding PNB, please discuss here. Requesting to be clear and constructive.


Thanks @RSOptions

Dont misunderstand me, but curious to know whether you have already buy PNB


How do you know its good level to buy?

what if new information comes out and another Modi is invovled and it tanks another 10-20% next week?


@sseth, @trader_dude

OK…OK… While I am not someone who likes to strut around showing-off their accounts. But since this is my FIRST POST on this forum that offers a STOCK TIP, it is my moral obligation to show that I “walk the talk” :slight_smile:

Attached is the screenshot of my CNC purchase today morning, and here is the logic:

Before the news of fraud of 11,300 Cr came out, PNB had a market cap of around 39,100 Cr. So the fraud amount is around 28% of market cap.
Since the news broke out, the stock has gone down around 24.65%. That means, stock price is now correctly reflecting the actual valuations.
However, the positive side is that it is still uncertain that who will bear the loss. Whether only PNB, or will it be also borne by other banks who honored the LOU.
It will be a long road, and that’s why I recommend a long hold.

Your thoughts are correct that “what if new information comes out and another Modi is invovled and it tanks another 10-20% next week?”, but then anything can happen on either side.
Again, its an individual’s call.


Logic is correct but it’s still a little bit risky I would wait till the answers of those questions come out.

hmmm… If you wait for the answers to come out, all price changes would happen withing microseconds of the answers coming out :slight_smile:
There will be no scope to make any profits.

Remember, Markets are Efficient:

yes but still it will little safe and prices don’t change that fast. It took about 3 days to come to this level

ok assuming it will be a painful recovery long.

Why should i invest in PNB , when i have plenty of other opportunities which have no risk like PNB currently has?

Also consider this, if PNB has to bear the loss.

The loss is 6 times more than their net income. So for the next 6 years or more all their earnings will go in covering this loss. So why should price appreciate for the next 5-6 yrs fundamentally?

So does it make sense to hold this stock for next 5-6 years which will just be ranging, resulting no gains?

Better to park your money else where ,no?


I presented my point of view.

You are your own boss :slight_smile: , and of your money.

So take a call as per your understanding.

Ask yourself does it make sense fundamentally to hold the stock for next 5 years? This is not my understanding, its the markets understanding.

I don’t see how they are going to come out of this unless the govt bails them out.

Its very simple - stock is still trading at around 122. It has not gone down to zero, 50, 80, or 100. The bank is not down and out.

Why? Because there are both buyers and sellers. Sellers are selling at these levels because they don’t believe the stock will go up, but buyers are buying at these levels because they believe that stock will go up from here. That’s the market understanding - equal on both sides. That’s why markets continue to trade.

Q&A, approval/disapproval, agreement/disapgreements will continue on this forum posts.
You choose your side: Stay away in one, get in on the other.

The fraud started in 2011.
So no other MODI involved.
Even PNB detected fraud years back.
It’s only now that it is being pursued.

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It all started during 2011 during Dynastic regime

Quite possible :rofl:

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Better to buy PCJ it can reach to 600 in next two month other companies like gitanjali and nakshatra on radar.

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@Tradeus True, I am also bullish on it.


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LLRC :rofl::rofl::rofl::rofl::rofl::rofl:

Bas, Dosti bani rahe .

:smiley::smiley: "Name "itself says , why he is there!!!