IDBI Bank Ltd. (IDBI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Karur Vysya Bank

Axis Bank

Federal Bank

HDFC Bank

ICICI Bank

Kotak Mah. Bank

IDFC First Bank

IDBI Bank

Yes Bank

IndusInd Bank

Bandhan Bank

Why is IDBI Bank Ltd. ?

Flat results in Dec 25

PBT LESS OI(Q) At Rs 1,250.03 cr has Fallen at -10.3% (vs previous 4Q average)
PAT(Q) At Rs 1,935.45 cr has Fallen at -19.3% (vs previous 4Q average)
CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 13,346.08 cr

Despite the size of the company, domestic mutual funds hold only 1.12% of the company

Domestic mutual funds have capability to do in-depth on-the-ground research on companies- their small stake may signify either they are not comfortable at the price or the business

Underperformed the market in the last 1 year

Even though the market (BSE500) generated negative returns of -3.30% in the last 1 year, its fall in the stock was much higher with a return of -13.99%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Private Sector Bank)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is IDBI Bank for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

IDBI Bank

-14.35%

-0.32

44.75%

Sensex

-5.42%

-0.44

13.38%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Net Interest Income Growth (5y)

10.39%

Net Profit Growth (5y)

57.82%

Advance to Deposit

67.80%

Capital Adequacy Ratio (Tier 1)

18.64%

Gross NPA (latest)

2.57%

Gross NPA (avg)

9.04%

Coverage Ratio (avg)

93.62%

Cost to Income (avg)

44.88%

Net Interest Margin (avg)

4.21%

Operating Profit to Assets (avg)

5.06%

ROA (avg)

1.49%

Net Debt to Equity (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Price to Book Value

0.96

PEG Ratio

0.19

Dividend Yield

3.41%

ROE (Latest)

13.99%

ROA (Latest)

2.27%

Net NPA to Book Value

0.62

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bearish

RSI

Bullish

No Signal

Bollinger Bands

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Mildly Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

11What is working for the Company

PAT(Latest six months)

At Rs 5,562.81 cr has Grown at 48.55%

GROSS NPA(Q)

Lowest at 2.57%

CREDIT DEPOSIT RATIO(HY)

Highest at 77.56%

-12What is not working for the Company

PBT LESS OI(Q)

At Rs 1,250.03 cr has Fallen at -10.3% (vs previous 4Q average

PAT(Q)

At Rs 1,935.45 cr has Fallen at -19.3% (vs previous 4Q average

CASH AND CASH EQUIVALENTS(HY)

Lowest at Rs 13,346.08 cr

PBDIT(Q)

Lowest at Rs 708.45 cr.

OPERATING PROFIT TO NET SALES (Q)

Lowest at 10.02%

NON-OPERATING INCOME(Q)

is 49.16 % of Profit Before Tax (PBT

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Here's what is working for IDBI Bank

Gross NPA - Quarterly

Lowest at 2.57% and Fallen

each quarter in the last five quarters

MOJO Watch

Proportion of stressed loans given by the bank are falling

Gross NPA (%)

Credit Deposit Ratio - Half Yearly

Highest at 77.56% and Grown

in the last four periods

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Here's what is not working for IDBI Bank

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 1,250.03 cr has Fallen at -10.3% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 1,393.63 Cr

MOJO Watch

Near term PBT trend is very negative

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 1,935.45 cr has Fallen at -19.3% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 2,398.54 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Operating Profit (PBDIT) - Quarterly

Lowest at Rs 708.45 cr.

in the last five quarters

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (Rs Cr)

Operating Profit Margin - Quarterly

Lowest at 10.02%

in the last five quarters

MOJO Watch

Company's efficiency has deteriorated

Operating Profit to Sales

Non Operating Income - Quarterly

is 49.16 % of Profit Before Tax (PBT)

MOJO Watch

The company's income from non business activities is high; which is not a sustainable business model

Non Operating Income to PBT

Cash and Cash Equivalents - Half Yearly

Lowest at Rs 13,346.08 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents