T N Merc. Bank

Why is Tamilnad Mercantile Bank Ltd falling/rising?

As of 02-Jul, Tamilnad Mercantile Bank Ltd's stock price is rising to 745.70, supported by strong financial performance, a low gross NPA of 0.73%, and increased institutional investor participation. The stock has outperformed the sector and shows a significant return of 67.22% over the past year.

As of 02-Jul, Tamilnad Mercantile Bank Ltd's stock price is rising, currently at 745.70, reflecting an increase of 15.7 or 2.15%. This upward movement is supported by several positive factors. The stock has outperformed the sector by 2.14% today and has experienced a trend reversal, gaining after two consecutive days of decline. Additionally, the stock opened with a gain of 2% today and reached an intraday high of Rs 763.25, which is a 4.55% increase.<BR><BR>The bank's strong financial performance also contributes to the rise in stock price. It has reported positive results for the last three consecutive quarters, with a gross NPA of only 0.73% and a highest net interest income of Rs 704.45 crore. The bank's high capital adequacy ratio of 27.31% indicates a robust buffer against risk, further enhancing investor confidence.<BR><BR>Moreover, institutional investors are increasing their participation, having raised their stake by 0.69% in the previous quarter, which suggests a growing confidence in the bank's fundamentals. The stock has shown impressive long-term performance, generating a return of 67.22% over the past year, significantly outperforming the benchmark indices.<BR><BR>Overall, the combination of strong financial results, increased institutional interest, and positive market performance are key factors driving the rise in Tamilnad Mercantile Bank Ltd's stock price.

Which are the latest news on T N Merc. Bank?

Should I buy, sell or hold Tamilnad Mercantile Bank Ltd?

What does T N Merc. Bank do?

Tamilnad Mercantile Bank Ltd is a private sector bank established in 1921, with a market capitalization of INR 12,256 Cr and reported net sales of 1,550.38 Cr and net profit of 374 Cr for March 2026. It operates in the small-cap market segment and offers a dividend yield of 1.41%.

Overview:<BR>Tamilnad Mercantile Bank Ltd operates as a private sector bank within the small-cap market segment.<BR><BR>History:<BR>The bank was incorporated on May 11, 1921, originally named 'Nadar Bank Limited' in Thoothukudi, Tamil Nadu. The latest quarterly results reported are for March 2026, showing sales and profit figures.<BR><BR>Financial Snapshot:<BR>Most recent Net Sales: 1,550.38 Cr (Quarterly Results - Mar 2026) <BR>Most recent Net Profit: 374 Cr (Quarterly Results - Mar 2026) <BR>Market-cap value: INR 12,256 Cr (Small Cap)<BR><BR>Key Metrics:<BR>P/E: N/A <BR>Industry P/E: N/A <BR>Dividend Yield: 1.41% <BR>Debt-Equity: N/A <BR>ROE: N/A <BR>Price-to-Book: N/A <BR><BR>Contact Details:<BR>Registrar Address: Not available. <BR>Phone: Not available. <BR>Email: Not available. <BR>Website: Not available.

Who are in the management team of T N Merc. Bank?

The management team of T N Merc. Bank includes Chairman Balakrishnan Prabharan, Managing Director & CEO S Krishnan, and several Non Executive and Independent Directors, along with nominees from the RBI and the Company Secretary. They oversee the bank's strategic direction and governance.

The management team of T N Merc. Bank includes the following key members:<BR><BR>1. **Balakrishnan Prabharan** - Chairman & Independent Director<BR>2. **S Krishnan** - Managing Director & CEO<BR>3. **Niranjan Sankar Annamalai** - Non Executive Director<BR>4. **P C G Asok Kumar** - Non Executive Director<BR>5. **Ashok Shanmugam Rajendran** - Non Executive Director<BR>6. **Dhanushkodi N Nirranjan Kani** - Non Executive Director<BR>7. **Chiranjeevi Raj C.** - Independent Non Executive Director<BR>8. **Shivavel Ezhil Jothi** - Independent Non Executive Director<BR>9. **Balasubramanian Vijayadurai** - Independent Non Executive Director<BR>10. **Nagarajan Kandavel** - Independent Non Executive Director<BR>11. **B S Keshava Murthy** - Director<BR>12. **Babu Suresh Kumar S.** - Nominee (RBI)<BR>13. **C S Ram Kumar** - Nominee (RBI)<BR>14. **S Ravindran** - Independent Non Executive Director<BR>15. **Prakash Chandra Panda** - Company Secretary<BR><BR>This team is responsible for guiding the bank's strategic direction and ensuring effective governance.

Who are the peers of the T N Merc. Bank?

T N Merc. Bank's peers include Bandhan Bank, Karur Vysya Bank, RBL Bank, and others. T N Merc. Bank has a 1-year return of 69.20%, outperforming its peers, while management risk is average compared to varying levels among its peers.

Peers: The peers of T N Merc. Bank are Bandhan Bank, Karur Vysya Bank, RBL Bank, City Union Bank, J&K Bank, South Ind.Bank, Karnataka Bank, CSB Bank, DCB Bank, and Dhanlaxmi Bank.<BR><BR>Quality Snapshot: Excellent management risk is observed at Bandhan Bank and Karur Vysya Bank, while Average management risk is found at RBL Bank, T N Merc. Bank, CSB Bank, and Dhanlaxmi Bank. Growth is Excellent at Karur Vysya Bank and CSB Bank, while Average growth is noted at T N Merc. Bank, and Below Average growth is seen at Bandhan Bank. Capital Structure is Excellent at Bandhan Bank, Karur Vysya Bank, City Union Bank, South Ind.Bank, Karnataka Bank, and CSB Bank, while Good capital structure is found at RBL Bank, J&K Bank, DCB Bank, and Dhanlaxmi Bank.<BR><BR>Return Snapshot: The peer with the highest 1-year return is RBL Bank at 63.93%, while the lowest is CSB Bank at -7.23%. T N Merc. Bank's 1-year return is 69.20%, which is higher than all its peers. Additionally, CSB Bank and DCB Bank have negative six-month returns.

Are Tamilnad Mercantile Bank Ltd latest results good or bad?

Tamilnad Mercantile Bank Ltd's latest Q4 FY26 results are strong, with a net profit of ₹373.65 crore, up 28.01% year-on-year, and a low gross NPA ratio of 0.73%. However, investors should be cautious due to the high reliance on non-operating income, which made up 48.01% of profit before tax.

Tamilnad Mercantile Bank Ltd's latest results for Q4 FY26 are quite strong overall. The bank reported a net profit of ₹373.65 crore, which reflects a significant increase of 28.01% year-on-year and 9.41% quarter-on-quarter. This growth was supported by a robust net interest income (NII) of ₹704.45 crore, marking a 24.04% increase year-on-year and 9.02% quarter-on-quarter.<BR><BR>Additionally, the bank's net interest margin improved to 4.18%, up from 3.91% in the same quarter last year, indicating effective asset-liability management. The gross non-performing asset (NPA) ratio is also impressive at 0.73%, showcasing best-in-class asset quality.<BR><BR>However, there is a noteworthy concern regarding the bank's reliance on non-operating income, which constituted 48.01% of profit before tax. This raises questions about the sustainability of earnings, as a significant portion of profit is derived from sources outside core banking operations.<BR><BR>Overall, while the headline figures are strong and reflect a positive trend in profitability and asset quality, investors should remain cautious about the quality of earnings due to the high contribution of non-core income.

Is T N Merc. Bank technically bullish or bearish?

As of November 4, 2025, T N Merc. Bank's trend has shifted to bullish, supported by a bullish MACD and moving averages, though caution is advised due to a mildly bearish monthly MACD.

As of 4 November 2025, the technical trend for T N Merc. Bank has changed from sideways to bullish. The current stance is bullish with moderate strength. Key indicators driving this include a bullish MACD on the weekly chart and bullish moving averages on the daily chart. Additionally, the Bollinger Bands and Dow Theory both indicate a mildly bullish outlook on the weekly and monthly time frames. However, the monthly MACD remains mildly bearish, which suggests some caution. Overall, the positive price action, including today's high surpassing the previous close, supports the bullish sentiment.

How has been the historical performance of T N Merc. Bank?

T N Merc. Bank has shown consistent growth from Mar'20 to Mar'25, with interest earned rising from 3,466.11 Cr to 5,291.26 Cr, net interest income increasing from 1,319.52 Cr to 2,300.92 Cr, and profit after tax growing from 407.69 Cr to 1,182.61 Cr, alongside a significant rise in total assets and improved liquidity.

Answer:<BR>The historical performance of T N Merc. Bank shows a consistent growth trajectory in various financial metrics over the years.<BR><BR>Breakdown:<BR>T N Merc. Bank's interest earned increased from 3,466.11 Cr in Mar'20 to 5,291.26 Cr in Mar'25, reflecting a steady upward trend. The bank's net interest income also rose significantly, from 1,319.52 Cr in Mar'20 to 2,300.92 Cr in Mar'25. Total income followed suit, climbing from 3,992.58 Cr in Mar'20 to 6,141.75 Cr in Mar'25. Despite an increase in interest expended from 2,146.59 Cr in Mar'20 to 2,990.34 Cr in Mar'25, the profit before tax improved from 407.69 Cr to 1,574.89 Cr in the same period. Profit after tax also saw a notable rise, reaching 1,182.61 Cr in Mar'25 compared to 407.69 Cr in Mar'20. The bank's total assets grew from 42,758.80 Cr in Mar'20 to 66,559.57 Cr in Mar'25, while total liabilities increased from 42,758.80 Cr to 66,559.57 Cr as well. Cash and cash equivalents at the end of Mar'25 stood at 4,408.00 Cr, up from 3,736.00 Cr in Mar'20, indicating improved liquidity. Overall, T N Merc. Bank has demonstrated strong growth in income, profitability, and asset base over the years.

When is the next results date for T N Merc. Bank?

T N Merc. Bank will announce its results on 27 October 2025.

T N Merc. Bank will declare its results on 27 October 2025.

How big is T N Merc. Bank?

As of 24th July, Tamilnad Mercantile Bank Ltd has a market capitalization of 7,272.00 Cr and reported a Net Profit of 1,182.61 Cr, with Shareholder's Funds at 9,008.69 Cr and Total Assets of 66,559.57 Cr. Net Sales data is unavailable.

As of 24th July, Tamilnad Mercantile Bank Ltd has a market capitalization of 7,272.00 Cr, categorizing it as a Mid Cap company.<BR><BR>In the latest four quarters, the company reported Net Sales of 0.00 Cr, indicating a lack of valid data for this metric. The Net Profit for the same period stands at 1,182.61 Cr.<BR><BR>The latest reporting period for the balance sheet is March 2025. Shareholder's Funds are valued at 9,008.69 Cr, while Total Assets amount to 66,559.57 Cr.

Who are the top shareholders of the T N Merc. Bank?

The top shareholders of T N Merc. Bank include individual investors holding 58.04% of shares, 108 foreign institutional investors with 4.58%, and a public shareholder in "Bucket 1 (court Cases)" holding 8.87%. There are no pledged promoter holdings or major promoters listed.

The top shareholders of T N Merc. Bank include a significant portion of individual investors, who hold 58.04% of the shares. Additionally, there are 108 foreign institutional investors (FIIs) with a combined holding of 4.58%. The highest public shareholder is categorized as "Bucket 1 (court Cases)," holding 8.87%. Notably, there are no pledged promoter holdings, and there are no major promoters with significant holdings listed. The bank's majority shareholders are classified as non-institutional.

Is T N Merc. Bank overvalued or undervalued?

As of January 21, 2025, T N Merc. Bank is considered very attractive due to its undervaluation, reflected in a PE ratio of 6.10 and a PEG ratio of 0.59, significantly lower than its peers HDFC Bank and ICICI Bank, despite a recent underperformance compared to the Sensex.

As of 21 January 2025, T N Merc. Bank's valuation grade has moved from attractive to very attractive, indicating a significant improvement in its perceived value. The bank appears to be undervalued, supported by a PE ratio of 6.10, a price-to-book value of 0.80, and a PEG ratio of 0.59. These ratios suggest that the bank is trading at a discount compared to its earnings growth potential.<BR><BR>In comparison to its peers, T N Merc. Bank stands out with a much lower PE ratio than HDFC Bank Ltd. at 22.51 and ICICI Bank Ltd. at 22.01, both of which are considered expensive. Additionally, T N Merc. Bank's PEG ratio of 0.59 is significantly lower than that of its peers, reinforcing its undervaluation. While the stock has underperformed the Sensex over the past year with a return of -3.18% compared to the Sensex's 7.56%, the current valuation metrics suggest that the bank presents a compelling investment opportunity.

Has T N Merc. Bank declared dividend?

Yes, Tamilnad Mercantile Bank Ltd has declared a 50% dividend, amounting to ₹5 per share, with an ex-date of August 29, 2023. However, the dividend yield is 0%, and total returns over various periods have shown mixed results, with a decline in the short term.

Tamilnad Mercantile Bank Ltd has declared a 50% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 50%<BR>- Amount per share: 5<BR>- Ex-date: 29 Aug 23<BR><BR>Dividend Yield: 0%<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was -6.69%, the dividend return was 0%, resulting in a total return of -6.69%.<BR><BR>Over the past year, the price return was -3.08%, the dividend return was 0%, leading to a total return of -3.08%.<BR><BR>In the 2-year period, the price return was 10.08%, the dividend return was 1.17%, culminating in a total return of 11.25%.<BR><BR>For the 3-year period, the price return was 0%, the dividend return was 0%, resulting in a total return of 0.0%.<BR><BR>In the 4-year period, the price return was 0%, the dividend return was 0%, leading to a total return of 0.0%.<BR><BR>For the 5-year period, the price return was 0%, the dividend return was 0%, culminating in a total return of 0.0%.<BR><BR>Overall, while Tamilnad Mercantile Bank Ltd has declared a dividend, the total returns over various periods show mixed results, with a notable decline in the short term and a positive return over the longer 2-year period. The dividend yield remains at 0%, indicating that the recent dividend declaration has not significantly impacted the yield.