Punjab National Bank (PNB) 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

Union Bank (I)

Bank Of India

Bank of Maha

SBI

Punjab Natl.Bank

Indian Bank

UCO Bank

Canara Bank

I O B

Central Bank

Bank Of Baroda

Why is Punjab National Bank ?

Strong lending practices with low Gross NPA ratio of 2.78%

Strong Long Term Fundamental Strength with a 49.57% CAGR growth in Net Profits

Healthy long term growth as Net profit has grown by an annual rate of 49.57%

Positive results in Jun 26

GROSS NPA(Q) Lowest at 2.78%
PAT(Q) Highest at Rs 5,253.29 cr.
NET NPA(Q) Lowest at 0.28%

With ROA of 1, it has a Very Attractive valuation with a 0.9 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -0.44%, its profits have risen by 36.1% ; the PEG ratio of the company is 0.2

High Institutional Holdings at 22.45%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Punjab Natl.Bank should be less than 10%
Overall Portfolio exposure to Public Sector Bank should be less than 30%

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

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Punjab Natl.Bank for you?

Medium Risk, Medium Return

Absolute

Risk Adjusted

Volatility

Punjab Natl.Bank

-0.44%

-0.02

27.58%

Sensex

-5.75%

-0.42

13.55%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Net Interest Income Growth (5y)

7.20%

Net Profit Growth (5y)

49.57%

Advance to Deposit

68.49%

Capital Adequacy Ratio (Tier 1)

13.62%

Gross NPA (latest)

2.78%

Gross NPA (avg)

6.11%

Coverage Ratio (avg)

81.94%

Cost to Income (avg)

52.54%

Net Interest Margin (avg)

2.64%

Operating Profit to Assets (avg)

3.44%

ROA (avg)

0.59%

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

0.87

PEG Ratio

0.17

Dividend Yield

2.68%

ROE (Latest)

13.79%

ROA (Latest)

1.03%

Net NPA to Book Value

2.31

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Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Mildly Bearish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Mildly Bearish

Dow Theory

Mildly Bullish

OBV

Mildly Bullish

Mildly Bearish

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

19What is working for the Company

GROSS NPA(Q)

Lowest at 2.78%

PAT(Q)

Highest at Rs 5,253.29 cr.

NET NPA(Q)

Lowest at 0.28%

NII(Q)

Highest at Rs 10,798.36 cr

INTEREST EARNED(Q)

Highest at Rs 32,897.26 cr

PBT LESS OI(Q)

At Rs 2,644.54 cr has Grown at 33.0% (vs previous 4Q average

EPS(Q)

Highest at Rs 4.57

-3What is not working for the Company

NON-OPERATING INCOME(Q)

is 62.10 % of Profit Before Tax (PBT

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Here's what is working for Punjab Natl.Bank

Gross NPA - Quarterly

Lowest at 2.78% and Fallen

each quarter in the last five quarters

MOJO Watch

Proportion of stressed loans given by the bank are falling

Gross NPA (%)

Profit After Tax (PAT) - Quarterly

Highest at Rs 5,253.29 cr. and Grown

each quarter in the last five quarters

MOJO Watch

Near term PAT trend is very positive

PAT (Rs Cr)

Net NPA - Quarterly

Lowest at 0.28% and Fallen

each quarter in the last five quarters

MOJO Watch

Proportion of stressed loans given by the bank are falling

Net NPA (%)

Net Interest Income (Quarterly)

Highest at Rs 10,798.36 cr

in the last five quarters

MOJO Watch

The bank's income from core business is increasing

Net Interest Income (Rs Cr)

Interest Earned - Quarterly

Highest at Rs 32,897.26 cr

in the last five quarters

MOJO Watch

Near term sales trend is positive

Interest Earned (Rs Cr)

Profit Before Tax less Other Income (PBT) - Quarterly

At Rs 2,644.54 cr has Grown at 33.0% (vs previous 4Q average)

over average PBT of the previous four quarters of Rs 1,988.93 Cr

MOJO Watch

Near term PBT trend is positive

PBT less Other Income (Rs Cr)

Profit After Tax (PAT) - Quarterly

At Rs 5,253.29 cr has Grown at 24.3% (vs previous 4Q average)

over average PAT of the previous four quarters of Rs 4,226.00 Cr

MOJO Watch

Near term PAT trend is positive

PAT (Rs Cr)

Earnings per Share (EPS) - Quarterly

Highest at Rs 4.57

in the last five quarters

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (Rs)

CAR - Quarterly

Highest at 18.13%

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 Punjab Natl.Bank

Non Operating Income - Quarterly

is 62.10 % 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