Shares of ICICI Bank hit a record high on Monday as it rallied nearly 13 per cent on the stock market.

ICICI Bank’s stock hit an all-time high of Rs 859 on the stock market in early trade after the lender reported a nearly 30 per cent jump in net profit while announcing second quarter results.

The bank’s shares were trading over 10 per cent higher or at Rs 839.05 apiece on the National Stock Exchange (NSE) at 3 pm. On the Bombay Stock Exchange (BSE), the shares of the private bank were trading at Rs 838.90 apiece.

At its intraday peak, the stock even dethroned Hindustan Unilever Limited (HUL) to become the fifth most valued stock on Dalal Street in terms of market capitalisation.

Read | Markets weighed down by FMCG, IT stocks; ICICI Bank hits record high

The main reason behind the company’s stock market rally today was the strong second quarter result, led by strong loan growth. The private lender’s net income during the quarter also jumped to Rs 5,510 crore. Meanwhile, the domestic loan portfolio grew by over 19 per cent year-on-year.

The bad loan ratio at ICICI Bank narrowed to 4.82 per cent during the September quarter, down over 5 per cent from the previous quarter.

The bank has set aside Rs 2,713 crore in provisions during the second quarter, compared to Rs 2,852 crore in the previous quarter.

WHAT BROKERAGES SAY

Brokerage firms Motilal Oswal and Emkay remain positive about the future of the private lender, given its provisions, retail growth and net profit during the second quarter.

Meanwhile, international research firms such as Credit Suisse and Goldman Sachs expect the stock to perform better due to rising profitability. CLSA and Morgan Stanley have also shared positive views on ICICI Bank.