City Union Bank

Digital Inclusion And MSME Lending Will Redefine Banking In India

AN

AnalystConsensusTarget

AnalystConsensusTarget

Not Invested

Based on Analyst Price Targets

Published

02 Feb 25

Updated

09 Dec 25

n/a

n/a

AnalystConsensusTarget's Fair Value

n/a

1Y

49.1%

7D

0.6%

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1Y

49.1%

7D

0.6%

You can edit this narrative until Dec 10 5:05 PM. Then, changes will post as Updates.

Author's Valuation

₹262.774.0% overvalued

AnalystConsensusTarget Fair Value

Shared on 09 Dec 25

CUB: IFC Energy Efficiency Funding Will Support MSME Lending While Outlook Stays Balanced

Analysts have nudged their price target on City Union Bank slightly higher to ₹262.77, reflecting marginal improvements in discount rate assumptions and sustained confidence in the bank's long term revenue growth and profit margin outlook. What's in the News City Union Bank secured a USD 50 million financing commitment from the International Finance Corporation to support MSMEs in adopting energy efficient and cost effective solutions (Key Developments) The IFC agreement, executed on October 31, 2025, is expected to bolster the bank's MSME lending franchise and align with sustainability focused growth initiatives (Key Developments) The bank has scheduled a board meeting on November 3, 2025, to consider and approve its standalone unaudited financial results for the quarter and half year ended September 30, 2025, subject to limited review by joint statutory central auditors (Key Developments) Valuation Changes The Fair Value Estimate remains unchanged at ₹262.77 per share, indicating no material reassessment of intrinsic value.

Shared on 25 Nov 25

CUB: Fair Value Outlook Holds as IFC Funding to Aid MSME Initiatives

Narrative Update on City Union Bank Analysts have kept the fair value estimate for City Union Bank steady at ₹262.77, as minimal changes in expected discount rate, revenue growth, and profit margin do not warrant a revision. What's in the News City Union Bank Limited secures a USD 50 million commitment from International Finance Corporation, a member of the World Bank Group.

Shared on 11 Nov 25

Fair value Increased 11%

CUB: Fair Valuation View Maintained Amid Fresh IFC MSME Loan Agreement

Analysts have raised their price target for City Union Bank, increasing the fair value estimate from ₹236.77 to ₹262.77. They cite improved revenue growth forecasts and a slightly lower discount rate as key drivers for the upward revision.

Shared on 04 Aug 25

Fair value Increased 10%

The significant upward revision in City Union Bank’s price target primarily reflects a marked increase in consensus revenue growth forecasts, with a minor uptick in future P/E, resulting in the analyst price target rising from ₹214.32 to ₹236.36. What's in the News Board meeting scheduled to consider and approve the un-audited standalone financial results for the quarter ended June 30, 2025, subject to limited review by joint statutory central auditors.

Shared on 01 May 25

Fair value Increased 3.73%

Shared on 23 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 17 Apr 25

Fair value Decreased 0.12%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 09 Apr 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 02 Apr 25

Fair value Increased 3.02%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 26 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 19 Mar 25

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

Shared on 12 Mar 25

Fair value Decreased 6.31%

AnalystConsensusTarget made no meaningful changes to valuation assumptions.

AnalystConsensusTarget Fair Value

₹262.77

4.0% overvalued

Future estimation in

% p.a.

0

Decrease

Increase

Current revenue growth rate

8.38%

Banks revenue growth rate

0.26%

Risk Level (Discount Rate)

Our default considers factors like the company's size, volatility, profitablity and country of operation.

%

0

Decrease

Increase

Current discount rate

14.76%

Calculation

₹19.64b

Earnings '28

x

14.98x

PE Ratio '28

=

₹294.30b

Market Cap '28

₹294.30b

Market Cap '28

/

741.24m

No. shares '28

=

₹397.04

Share Price '28

₹397.04 Share Price '28

Discounted to 2025 @ 14.76% p.a.

=

₹262.69

Fair Value '25