Tag Banking Stocks

SBI Stock Analysis
State Bank of India: Closes 0.67% Lower Despite Strong Fundamentals

Business and Industry Overview: 

State Bank of India (SBI) is the largest government-owned bank in India and one of the biggest banks in the world. It has a strong presence in the banking sector, holding 23% of the country’s total assets and 25% of all loans and deposits. With around 250,000 employees, it is also one of India’s top employers. SBI has achieved major milestones in the stock market, reaching a market value of over ₹8 trillion in 2024, making it one of the most valuable companies in India. The Reserve Bank of India (RBI) considers SBI a “too big to fail” bank, meaning it is crucial to the country’s financial system. The bank has a rich history, dating back to 1806, and was originally called the Imperial Bank of India before being renamed SBI in 1955. Over the years, it has grown by merging with more than 20 banks. In 2022, SBI opened a special branch in Bengaluru to support start-ups in India.  

State Bank of India (SBI) is the biggest bank in India, offering financial services to individuals, businesses, and government institutions. It plays a major role in banking, investments, and lending, making it a key player in the country’s financial system.  SBI is focusing a lot on digital banking. It has launched new apps like ‘YONO for Every Indian’ and ‘Yono Global’ to make banking easier, even for customers in Singapore and the US. It also introduced UPI transactions for India’s digital currency (CBDC) and an electronic Bank Guarantee (e-BG) to speed up banking processes. The bank is also raising funds to support India’s infrastructure and sustainability projects. It secured over US$ 1.2 billion through bonds and completed a US$ 1 billion loan focused on environmental and social impact—the biggest of its kind in Asia.  To support startups, SBI has opened special branches that provide all banking services under one roof. It is also helping expand banking services by partnering with RailTel to bring 4G connectivity to 15,000 offsite ATMs across India.  With its focus on digital banking, international expansion, and financial inclusion, SBI continues to be India’s most important and trusted bank. The bank has a market share of 22.84% in deposits and 19.69% share in advances in India. It has a strong customer base of ~45 crore customers. 

Latest Stock News: 

State Bank of India (SBI) is the biggest bank in India. Its share price keeps going up and down. On April 11, 2025, the share price opened at ₹759. This is 2.26% more than the price on April 9, which was ₹742.20. The share price went up after the Reserve Bank of India (RBI) cut the repo rate. A repo rate cut means banks get cheaper loans from the RBI. This helps banks earn more and gives hope to investors. On April 9, SBI shares had dropped by 3.23%. Now the price is slowly going up again. On April 8, the share price had also gone up. SBI’s share price is affected by news and other changes. For example, there are new rules for ATM transactions. Also, SBI may sell its stake in Yes Bank. These things may change the share price later. In the last month, the stock has fallen by 3.3%. The highest price in one year was ₹912, and the lowest was ₹680. The total market value of SBI is ₹6.73 lakh crore. SBI gives a 1.82% dividend to its shareholders. Many experts still say SBI is a good stock. Jefferies gave a “Buy” rating and a target of ₹1,030. UBS raised its target to ₹840 and gave a “Neutral” rating. Some say the price may go up to ₹1,049 in 2025. But others, like Bernstein, think the price will not grow much. Overall, many people still trust SBI for long-term investment. 

Potentials: 

State Bank of India (SBI) is growing fast and making banking easier for people. It is launching a new mobile app in the U.S. and Singapore and allowing UPI payments for the Digital Rupee. SBI is also letting people withdraw cash without a card. It is giving more loans to businesses and helping startups with special banking services. The bank is also working with Japan and raising money for eco-friendly projects. By opening more ATMs, helping people pay back loans, and supporting small businesses, SBI is making banking better for everyone. SBI has many ways to grow. It can use technology to make banking easy for people, open more branches in India and other countries, and help people who do not have bank accounts save money and learn about banking. SBI can also collaborate with other companies to generate new ideas. However, to keep people’s money safe, SBI needs strong security and rules. 

Analyst Insights: 

  • Market Value: ₹ 6,75,460 Cr. 
  • Current Price: ₹ 757 
  • Price-to-Earnings (P/E) Ratio: 8.55 
  • Dividend Yield: 1.82%
  • Return on Capital (ROCE): 6.16%  
  • Return on Equity (ROE): 17.3% 

State Bank of India (SBI) is the biggest public sector bank in India. In FY24, its net profit grew by 42.5% and reached ₹82,346 crore. In the last five years, SBI’s profit grew at a 99% average rate every year. This shows strong and steady growth. SBI’s bad loans have gone down. Gross NPA is now 2.13% and Net NPA is 0.52%. This means SBI is giving better loans and recovering well. SBI’s capital strength is good. Its capital adequacy ratio is 14.68%, which is above the required level. The return on equity (RoE) is 17.3%, showing the bank is using money well. Earnings per share (EPS) are ₹88.90, which means good earnings for each share. SBI is also strong in the market. It has a 22.55% share in deposits and 19.06% in loans, which is very high. 

SBI is also growing digitally. Now, 66% of savings accounts are opened online. This saves cost and helps reach more people. SBI’s stock is still not very expensive. The price-to-earnings ratio is 8.55 and price-to-book ratio is 1.41. These are low compared to private banks like HDFC Bank and ICICI Bank. This means SBI is undervalued, even with strong results. Because of good profit, strong loan quality, digital growth, and low stock price, SBI is a ‘Buy’ for long-term investors. 

AU Small Finance Bank Ltd
AU Small Finance Bank Breaks Down: How to Trade at 52-Week Lows

Business and Industry Overview: 

AU Small Finance Bank is India’s largest small finance bank. It is based in Jaipur. It started in 1996 as a company that gave loans for buying vehicles. In 2017, it became a full bank. The bank helps people with low and middle incomes. It also helps small businesses. It gives loans, savings accounts, and other banking services. People can use UPI, mobile banking, and other digital services. The bank is listed on the stock market. Big investors like Warburg Pincus and International Finance Corporation have invested in it. In 2024, AU Bank merged with Fincare Small Finance Bank. This was the first merger between small banks. The bank has 2,383 branches in 25 states. It has 46,000 employees and 1.1 crore customers. It also has 505 ATMs across India. Its total deposits are ₹80,120 crore, and its total loans are ₹67,624 crore. The bank is growing fast. It is using technology to make banking easy. In 2023, it started a campaign with Bollywood actress Kiara Advani. The bank is strong and trusted. 

Small Finance Banks (SFBs) are special banks in India that help small businesses, low-income people, and rural areas get banking services. They provide loans, savings accounts, deposits, and online banking. The industry is growing fast, with banks like AU Small Finance Bank and Ujjivan Small Finance Bank leading the way. SFBs are expanding quickly in rural and small-town areas, where many people do not have access to banks. In 2024, these banks are expected to grow their loans by 25–27%.  mainly give loans for small businesses, homes, vehicles, and personal use. However, they face challenges in getting deposits because they offer higher interest rates to attract customers. To solve this, they are using other ways to get money, like selling loan portfolios to investors. Many SFBs have strong financial backing and are raising funds from investors and stock markets. They have also increased their capital reserves to remain stable. In the future, these banks will continue growing, especially in small towns and villages, helping more people and businesses get access to banking. 

AU Small Finance Bank is the biggest small finance bank in India. It started as a finance company in 1996. In 2017, it became a small finance bank. It helps people and small businesses who cannot use big banks. The bank has grown very fast. It is now listed on the stock market. AU Bank has 2,383 branches across 25 states. It serves over 1.1 crore customers. Many of them live in villages and small towns. These places need better banking services. AU Bank gives loans, savings accounts, and other banking services. The bank uses technology to help customers. People can use online banking, video banking, and mobile banking. This makes banking easy and fast. The bank is strong financially. It has total assets of ₹1,01,176 crore. It has a good reputation and high credit ratings. AU Bank became more popular after a marketing campaign with Bollywood actress Kiara Advani. In 2024, it merged with Fincare Small Finance Bank. This made it even bigger. 

The bank faces competition. Other small finance banks and big banks like HDFC and ICICI are its rivals. AU Bank offers higher interest rates to attract customers. It also reaches more villages and small towns. Its focus on technology and customer service makes it one of the best small finance banks in India. 

Latest Stock News: 

AU Small Finance Bank’s stock was moving between ₹540 and ₹730 for two years. Now, it has fallen below ₹540. If it stays below this level, the price may drop by 25-30%. The RSI, which shows stock strength, is moving toward the oversold zone. This means selling pressure is high, and the stock may fall more. 

On March 17, the stock fell 2.7% and hit ₹478.35, its lowest price in a year. Since the start of 2025, it has dropped by 13%. This happened even when the overall stock market was doing well. NIFTY 50 rose by 0.50%, and SENSEX went up by 0.46%. The bank plans to raise ₹1,500 crore by selling special bonds. This will help strengthen its financial position. The bank’s total fundraising limit is ₹6,000 crore, approved in July 2024. Many other stocks also fell. A total of 199 stocks, including RR Kabel, Rolex Rings, and Muthoot Microfin, hit their lowest prices in a year. Despite this, the overall market remained strong. NIFTY 50 was up by 1.2%, and SENSEX increased by 1.31%. The bank is working to improve its finances, but investors are still unsure. The next few weeks will decide if the stock will recover or fall further. 

Potentials: 

AU Small Finance Bank has big plans for the future. It wants to grow and serve more people, especially in small towns and villages. Many people in these areas need banking services, and the bank wants to help them. The bank will continue to give loans to small businesses, homeowners, and individuals. To support this, it plans to raise ₹1,500 crore by selling bonds. This money will help the bank give more loans and stay strong. The bank may also borrow from other financial companies or find new investors. It is also working on improving online banking. Customers will be able to take loans, save money, and use other services easily through digital tools. The bank will use new technology to attract more customers and make banking simple. At the same time, the bank is focused on saving money and reducing risks. It checks its financial health regularly to stay strong. There are challenges like competition from other banks and market changes, but the bank is focused on steady growth. One of the bank’s biggest goals is to become a universal bank in the next 3-5 years. It has asked the Reserve Bank of India (RBI) for permission. If approved, the bank will offer more services and compete with big banks. It will also use new technology to grow and serve more people. 

Analyst Insights: 

  • Market capitalization: ₹ 39,095 Cr. 
  • Current Price: ₹ 526 
  • 52-Week High/Low: ₹ 755 / 478 
  • Stock P/E: 19.2 
  • Dividend Yield: 0.19 % 
  • Return on Capital Employed (ROCE): -0.04 % 
  • Return on Equity: 13.0 % 

AU Small Finance Bank is growing steadily. Net profit rose by 11.2% YoY to ₹392 crore, showing strong earnings. Net interest income (NII) increased 25% YoY to ₹1,383 crore, meaning the bank is making more money from loans. Loan book expanded by 25% YoY to ₹80,285 crore, showing high demand for loans. Deposits grew 23% YoY to ₹79,424 crore, indicating customer trust. Though gross NPA increased slightly to 1.98% from 1.98% last year, it is still under control. The bank’s strong growth, rising profits, and stable risk management make it a good stock to buy for the long term. 

Yes Bank Ltd
Yes Bank Hits Fresh 52-Week Low: Expert Trading Strategies for Navigating the Breakdown

Business and Industry Overview: 

Yes Bank is a private bank in India. It started in 2004 and has its main office in Mumbai. The bank helps people and businesses with money. People can open savings and current accounts. They can also get loans, credit cards, and fixed deposits. Businesses use the bank for loans and money management. Many companies trust Yes Bank for their financial needs.   

In 2020, Yes Bank had big money problems. Many people and businesses could not repay their loans. The bank lost a lot of money and faced a crisis. It could not manage its funds properly. The Reserve Bank of India (RBI) and other big banks helped. They gave money and made changes in the bank. This helped Yes Bank recover.   

After that, Yes Bank worked to fix its problems. It became careful while giving loans. It checked risks properly before lending money. It also improved how it managed funds. The bank focused on online banking. It made mobile banking and online payments better. More people started using these services.   

Yes Bank is now trying to grow again. It wants people to trust it. It still faces some problems. Other banks are strong competition. It also has old loan issues. But it is working hard to improve. It wants to become strong and stable in the future. 

Banks keep money safe, give loans, and help people send and receive money. The Reserve Bank of India (RBI) makes rules so that banks work well. There are different banks in India. Foreign banks come from other countries. Private banks focus on good service and new technology. Government banks help many people and businesses. Rural banks give money to farmers and small shop owners. India’s FinTech market is now US$ 111 billion and may grow to US$ 421 billion by 2029. More people now pay online instead of using cash. By 2026, 65% of payments in India may be online. Banks use new technology to make things easy. Farmers can apply for Kisan Credit Card (KCC) loans online to get money fast. In September 2023, India got its first UPI-ATM, where people can take out cash without a card. By July 2024, 602 banks used UPI, and people made 15.08 billion online payments worth US$ 25.27 billion. The RBI is making a digital currency (CBDC) for quicker payments. The government is making KYC rules easy, so opening a bank account takes less time. In March 2023, India Post Payments Bank and Airtel started WhatsApp banking, so people can use their phones for banking. The banking system is growing but has some problems. Online fraud is increasing, so banks need better safety. New FinTech companies are giving more choices, so banks must work better. More people now like digital banking. The government is helping with new rules and technology. Banking in India will keep getting better. 

Latest Stock News: 

The Indian stock market had a mixed day on Tuesday. The BSE Sensex dropped slightly by 0.02% and closed at 74,102. The Nifty 50 went up by 0.17% and closed at 22,497. 

One stock fell from ₹400 to ₹5.65 and has not moved much since then. This shows why buying a falling stock can be risky. Experts call this “catching a falling knife.” The stock is still weak because its RSI is below 40 on monthly, weekly, and daily charts. Experts say it is better to wait and watch instead of buying now. 

Other Asian stock markets also fell. Wall Street stocks dropped sharply before that. Investors are worried about the US economy. On Sunday, former US President Donald Trump did not say if a recession might happen. His trade policies have made people unsure about the future. 

Potentials: 

Yes Bank is working to grow and become strong again. It plans to give loans carefully so people and businesses can repay them on time. The bank will check customers properly before approving loans to avoid bad debts. It is also working to recover money from past unpaid loans. 

Yes Bank is improving its mobile app and website to make banking easier. It wants more people to use online banking, mobile payments, and digital services for quick and safe transactions. The bank is introducing new features to attract more customers. 

Yes Bank is also focusing on helping businesses. It wants to provide better loans and money management services to small and medium-sized companies. The bank aims to grow its business banking section by offering better financial support to companies. 

To avoid financial problems like before, Yes Bank is improving its risk management system. It is making sure that it does not give loans to people who cannot repay. It is also keeping a close watch on financial risks to protect itself from losses. 

The bank is looking for new business partners to expand its services. It wants to work with fintech companies and other financial firms to bring new and smart banking solutions. These partnerships will help the bank grow faster and offer better services to customers. 

Yes Bank also wants to increase its profits by attracting more customers and expanding its services. It is focusing on better customer service, digital banking, and secure financial management. The bank is taking steady steps to rebuild trust, grow its business, and become strong and stable again. 

Analyst Insights: 

  • Market capitalisation: ₹ 50,668 Cr. 
  • Current Price: ₹ 16.2 
  • 52-Week High/Low:₹ 28.6 / 16.0 
  • Stock P/E: 23.4 
  • Dividend Yield: 0.00 % 
  • Return on Capital Employed (ROCE): 5.81 % 
  • Return on Equity: 3.11 % 

Yes Bank is not a good investment right now. Its profits have improved, but it still does not use money as well as other banks. ICICI and HDFC Bank make much better returns. Yes Bank’s bad loans have reduced, but it still struggles to cover its interest costs. Its sales have also dropped over the last five years. The stock price has fallen 29% in a year and is close to its lowest point. This shows that investors do not trust the bank much. It is better to sell or avoid Yes Bank and look at stronger banks like ICICI or HDFC.