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

IndusInd Bank

IDFC First Bank

Federal Bank

ICICI Bank

Axis Bank

Yes Bank

RBL Bank

Kotak Mah. Bank

HDFC Bank

IDBI Bank

Why is IDBI Bank Ltd. ?

Flat results in Jun 26

PAT(Q) At Rs 2,115.18 cr has Fallen at -11.1% (vs previous 4Q average)
NON-OPERATING INCOME(Q) is 36.78 % of Profit Before Tax (PBT)

Despite the size of the company, domestic mutual funds hold only 1.34% 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) has generated returns of 3.97% in the last 1 year, the stock has hugely underperformed and has generate negative returns of -6.09% returns

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, Medium Return

Absolute

Risk Adjusted

Volatility

IDBI Bank

-5.91%

-0.12

46.83%

Sensex

-2.39%

-0.18

13.58%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Net Interest Income Growth (5y)

7.09%

Net Profit Growth (5y)

39.54%

Advance to Deposit

64.61%

Capital Adequacy Ratio (Tier 1)

21.08%

Gross NPA (latest)

2.30%

Gross NPA (avg)

6.81%

Coverage Ratio (avg)

93.35%

Cost to Income (avg)

46.59%

Net Interest Margin (avg)

4.19%

Operating Profit to Assets (avg)

5.07%

ROA (avg)

1.42%

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

1.33

PEG Ratio

0.40

Dividend Yield

ROE (Latest)

14.22%

ROA (Latest)

2.06%

Net NPA to Book Value

0.63

Loading Valuation Snapshot...

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

No Trend

OBV

Mildly Bearish

Bullish

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

6What is working for the Company

GROSS NPA(Q)

Lowest at 2.30%

CASH AND CASH EQUIVALENTS(HY)

Highest at Rs 33,230.37 cr

PBT LESS OI(Q)

Highest at Rs 1,773.10 cr.

-4What is not working for the Company

PAT(Q)

At Rs 2,115.18 cr has Fallen at -11.1% (vs previous 4Q average

NON-OPERATING INCOME(Q)

is 36.78 % of Profit Before Tax (PBT

Loading Valuation Snapshot...

Here's what is working for IDBI Bank

Gross NPA - Quarterly

Lowest at 2.30% and Fallen

each quarter in the last five quarters

MOJO Watch

Proportion of stressed loans given by the bank are falling

Gross NPA (%)

Profit Before Tax less Other Income (PBT) - Quarterly

Highest at Rs 1,773.10 cr.

in the last five quarters

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 1,773.10 cr has Grown at 36.9% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 1,294.90 Cr

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Cash and Cash Equivalents - Half Yearly

Highest at Rs 33,230.37 cr

in the last six half yearly periods

MOJO Watch

Short Term liquidity is improving

Cash and Cash Equivalents

CAR - Quarterly

Highest at 26.92%

in the last five quarters

MOJO Watch

The Bank's capital base vs its risk assets is improving. However, the bank may not be taking adequate risk in its lending book.

CAR (%)

Here's what is not working for IDBI Bank

Profit After Tax (PAT) - Quarterly

At Rs 2,115.18 cr has Fallen at -11.1% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 2,378.34 Cr

MOJO Watch

Near term PAT trend is very negative

PAT (Rs Cr)

Non Operating Income - Quarterly

is 36.78 % 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