Sector landing page

Banking valuations

Banks use a P/B + Residual Income engine instead of DCF (FCF is not meaningful for a leveraged balance-sheet business). Private banks and PSU banks share the engine but sit in separate canonical sectors with different verdict thresholds. See each bank's analysis page for the residual-income disclosure and the implied long-run ROE.

Tickers
12
Median MoS
12.9%
across 12 stocks
Median score
50
across 12 stocks
Median ROE
12.1%
across 12 stocks

Verdict distribution

Undervalued1
Fairly valued8
Overvalued2

Cohort constituents

ICICIBANK8113.4Fairly valued
BANKBARODA7012.3Fairly valued
PNB6520.1Fairly valued
IDFCFIRSTB65-23.9Fairly valued
FEDERALBNK64-7.4Fairly valued
KOTAKBANK5035.5Fairly valued
CANBK5031.8Fairly valued
AUBANK50-34.3Overvalued
SBIN43-24.3Fairly valued
HDFCBANK4093.6data_limited
AXISBANK4053.1Undervalued
INDUSINDBK12-63.7Overvalued