Current Rating and Its Significance
MarketsMOJO’s Strong Buy rating for Bank of Maharashtra indicates a robust confidence in the stock’s potential for substantial returns relative to its peers. This rating is supported by a comprehensive evaluation of four key parameters: Quality, Valuation, Financial Trend, and Technicals. The current Mojo Score stands at 84.0, reflecting a seven-point increase from the previous score of 77, which corresponded to a Buy rating. This elevated score underscores the stock’s improved fundamentals and market positioning.
Quality Assessment
As of 11 January 2026, Bank of Maharashtra exhibits a strong quality profile. The bank maintains a low Gross Non-Performing Assets (NPA) ratio of 1.72%, signalling prudent lending practices and effective risk management. This is a critical metric for public sector banks, where asset quality often influences investor confidence. Additionally, the bank has demonstrated consistent profitability, declaring positive results for 20 consecutive quarters, which highlights operational stability and resilience in a competitive banking environment.
Valuation Metrics
The valuation of Bank of Maharashtra remains attractive by current market standards. The stock trades at a Price to Book Value (P/BV) of 1.5, which is a discount compared to its peers’ historical averages. This suggests that the market has yet to fully price in the bank’s growth prospects. Furthermore, the Return on Assets (ROA) stands at a healthy 1.6%, reinforcing the stock’s appeal from a value perspective. The PEG ratio of 0.5 indicates that the stock’s price growth is favourable relative to its earnings growth, making it an enticing option for value-conscious investors.
Financial Trend and Growth Trajectory
The latest data shows Bank of Maharashtra’s financial trend is very positive. The bank’s net profits have grown at a compound annual growth rate (CAGR) of 70.60%, an exceptional figure that reflects strong earnings momentum. Net Interest Income, excluding other income, has expanded at an annual rate of 21.64%, further supporting the bank’s profitability. The interest earned in the most recent quarter reached a record ₹7,128.38 crores, while quarterly profit after tax (PAT) hit a high of ₹1,633.14 crores. These figures demonstrate the bank’s ability to generate sustainable earnings growth, which is a key driver behind the Strong Buy rating.
Technical Outlook
From a technical perspective, Bank of Maharashtra’s stock exhibits bullish momentum. The share price has delivered a 27.76% return over the past year as of 11 January 2026, outperforming many peers in the public sector banking space. Shorter-term price movements also show strength, with a 10.02% gain over the past month and a 10.88% increase over three months. The stock’s upward trajectory is supported by positive market sentiment and strong fundamentals, making it an attractive candidate for investors seeking growth opportunities in the banking sector.
Performance Summary
Currently, the company’s financial metrics indicate a well-rounded performance. The stock’s one-day gain of 1.21% on 11 January 2026 reflects ongoing investor interest. Despite a slight dip of 1.80% over the past week, the medium- and long-term trends remain positive. Over six months, the stock has appreciated by 9.87%, and year-to-date gains stand at 1.18%. These figures, combined with the bank’s strong fundamentals, justify the current Strong Buy rating and suggest continued upside potential.
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Implications for Investors
For investors, the Strong Buy rating on Bank of Maharashtra signals a compelling opportunity to consider adding this stock to their portfolios. The combination of strong asset quality, attractive valuation, robust financial growth, and positive technical indicators suggests that the bank is well-positioned to deliver sustained returns. Investors should note that the rating reflects the bank’s current fundamentals as of 11 January 2026, providing a timely and relevant basis for investment decisions.
Sector Context and Market Position
Operating within the public sector banking domain, Bank of Maharashtra stands out for its consistent performance amid a challenging macroeconomic environment. Its midcap market capitalisation offers a balance between growth potential and relative stability. The bank’s ability to maintain low NPAs and deliver steady profit growth distinguishes it from many peers, which often face asset quality pressures. This resilience enhances its appeal to investors seeking exposure to the banking sector with a favourable risk-return profile.
Outlook and Future Considerations
Looking ahead, Bank of Maharashtra’s prospects remain promising. The bank’s track record of 20 consecutive quarters of positive results, combined with its strong lending practices and expanding net interest income, provides a solid foundation for future growth. Investors should monitor ongoing developments in the banking sector and macroeconomic conditions, but the current data supports a positive outlook for the stock.
Conclusion
In summary, Bank of Maharashtra’s Strong Buy rating by MarketsMOJO, last updated on 30 December 2025, is underpinned by a comprehensive assessment of quality, valuation, financial trends, and technical strength. As of 11 January 2026, the bank’s fundamentals remain robust, with strong profitability, attractive valuation metrics, and positive market momentum. This makes the stock a compelling choice for investors seeking growth and value in the public sector banking space.
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