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Indian (NIFTY) Banks Industry Analysis

UpdatedMay 23, 2026
DataAggregated Company Financials
Companies41
  • 7D0.3%
  • 3M-13.7%
  • 1Y-2.8%
  • YTD-10.1%

Over the last 7 days, the Banks industry has dropped 1.3%, driven by a pullback from State Bank of India of 1.5%. As for the longer term, the industry's performance has been flat for the past year. As for the next few years, earnings are expected to grow by 11% per annum.

Industry Valuation and Performance

Has the Indian Banks Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 23 May 2026₹52.3t₹15.6t₹4.2t11.2x12.6x3.4x
Mon, 20 Apr 2026₹55.5t₹15.4t₹4.1t12x13.6x3.6x
Wed, 18 Mar 2026₹54.3t₹15.1t₹4.0t11.8x13.4x3.6x
Fri, 13 Feb 2026₹60.0t₹15.1t₹4.0t13.4x14.8x4x
Sun, 11 Jan 2026₹57.7t₹14.7t₹4.0t12.1x14.6x3.9x
Tue, 09 Dec 2025₹57.3t₹14.7t₹4.0t11.2x14.5x3.9x
Thu, 06 Nov 2025₹56.8t₹14.7t₹3.9t12.2x14.4x3.9x
Sat, 04 Oct 2025₹54.4t₹14.9t₹3.9t11.7x13.8x3.6x
Mon, 01 Sep 2025₹51.9t₹14.9t₹3.9t11.6x13.2x3.5x
Wed, 30 Jul 2025₹54.0t₹14.8t₹3.9t12.4x13.7x3.6x
Fri, 27 Jun 2025₹54.7t₹14.7t₹4.0t12.6x13.8x3.7x
Sun, 25 May 2025₹53.3t₹14.5t₹4.0t11.7x13.4x3.7x
Tue, 22 Apr 2025₹53.1t₹14.6t₹4.0t11x13.4x3.6x
Thu, 20 Mar 2025₹48.3t₹14.3t₹3.9t9.5x12.3x3.4x
Sat, 15 Feb 2025₹47.3t₹14.3t₹3.9t9.6x12x3.3x
Mon, 13 Jan 2025₹47.1t₹14.1t₹3.8t9.4x12.5x3.3x
Wed, 11 Dec 2024₹52.7t₹14.1t₹3.8t10.4x14x3.7x
Fri, 08 Nov 2024₹51.0t₹14.0t₹3.7t10.4x13.7x3.6x
Sun, 06 Oct 2024₹49.9t₹13.7t₹3.6t10.5x13.8x3.6x
Tue, 03 Sep 2024₹50.6t₹13.7t₹3.6t10.9x14x3.7x
Thu, 01 Aug 2024₹51.7t₹13.7t₹3.6t11.6x14.3x3.8x
Sat, 29 Jun 2024₹51.8t₹13.1t₹3.4t12.5x15x3.9x
Mon, 27 May 2024₹49.4t₹13.2t₹3.4t12x14.3x3.8x
Wed, 24 Apr 2024₹48.5t₹12.3t₹3.2t12.2x15.1x4x
Fri, 22 Mar 2024₹46.5t₹11.9t₹3.2t11.3x14.7x3.9x
Sun, 18 Feb 2024₹47.3t₹11.9t₹3.2t11.9x15x4x
Tue, 16 Jan 2024₹46.4t₹11.1t₹3.0t12.2x15.3x4.2x
Thu, 14 Dec 2023₹44.9t₹11.1t₹3.0t12.6x14.8x4.1x
Sat, 11 Nov 2023₹41.4t₹11.1t₹3.0t12.3x13.6x3.7x
Mon, 09 Oct 2023₹42.3t₹10.3t₹2.8t14.2x15x4.1x
Wed, 06 Sep 2023₹41.5t₹10.3t₹2.8t13.2x14.7x4x
Fri, 04 Aug 2023₹40.9t₹10.0t₹2.7t13.1x15.3x4.1x
Sun, 02 Jul 2023₹37.3t₹9.5t₹2.5t11.9x14.9x3.9x
Tue, 30 May 2023₹36.9t₹9.8t₹2.5t10x14.8x3.8x
Price to Earnings Ratio

14.8x


Total Market Cap: ₹36.9tTotal Earnings: ₹2.5tTotal Revenue: ₹9.8tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Banks Industry Price to Earnings3Y Average 14x202420252026
Current Industry PE
  • Investors are pessimistic on the Indian Banks industry, indicating that they anticipate long term growth rates will be lower than they have historically.
  • The industry is trading at a PE ratio of 12.5x which is lower than its 3-year average PE of 14.0x.
  • The 3-year average PS ratio of 3.8x is higher than the industry's current PS ratio of 3.3x.
Past Earnings Growth
  • The earnings for companies in the Banks industry have grown 19% per year over the last three years.
  • Revenues for these companies have grown 17% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Indian Financials industry?

IN Market0.48%
Financials0.30%
Banks0.27%
Diversified Banks0.30%
Regional Banks-1.12%
Industry PE
  • Investors are most optimistic about the Regional Banks industry which is trading above its 3-year average PE ratio of 17.8x.
    • Analysts are expecting annual earnings growth of 23.4%, which is higher than its past year's earnings growth of 7.3% per year.
  • Investors are most pessimistic about the Diversified Banks industry, which is trading below its 3-year average of 14.0x.
Forecasted Growth
  • Analysts are most optimistic on the Regional Banks industry, expecting annual earnings growth of 23% over the next 5 years.
  • This is better than its past earnings growth rate of 7.3% per year.
  • In contrast, the Diversified Banks industry is expected to see its earnings grow by 10% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
ICICIBANK ICICI Bank₹1.26k1.6%
+₹141.9b		-12.8%PB2.5x
532215 Axis Bank₹1.29k3.2%
+₹125.6b		6.2%PB1.9x
IDBI IDBI Bank₹72.653.2%
+₹24.4b		-22.7%PB1.1x
BANKBARODA Bank of Baroda₹265.401.5%
+₹20.7b		9.2%PB0.8x
INDUSINDBK IndusInd Bank₹910.152.7%
+₹18.5b		14.7%PB1.1x

Latest News

BANKINDIA
₹139.92
Bank of India
7D
-1.6%
1Y
19.5%
AUBANK
₹977.90
AU Small Finance Bank
7D
-1.3%
1Y
40.5%
Narrative Update • May 18

AUBANK: New Forex Remittance Push Will Support Future Re Rating

Analysts have maintained their price target for AU Small Finance Bank at ₹1,275, citing only marginal adjustments to the discount rate, revenue growth, profit margin and future P/E assumptions, rather than a fundamental change in the overall investment narrative. What's in the News AU Small Finance Bank launched a customer-centric forex proposition that removes embedded charges on international fund transfers, offering zero forex margin and zero bank charges on both inward and outward remittances, with currency conversion at the bank's Interbank Reference Rate and no hidden mark ups.
KARURVYSYA
₹288.05
Karur Vysya Bank
7D
-3.7%
1Y
52.8%
Narrative Update • May 17

KARURVYSYA: Steadier Outlook Will Hinge On Leadership Continuity And Governance Decisions

Analysts have lifted their price target for Karur Vysya Bank from about ₹222 to roughly ₹305, citing updated assumptions for revenue growth, profit margin, and future P/E that they believe support a higher fair value estimate. What's in the News A board meeting is scheduled for May 7, 2026 to consider and approve the audited financial results for the quarter and year ended March 31, 2026, and to recommend any dividend on the equity shares.
HDFCBANK
₹766.80
HDFC Bank
7D
-0.09%
1Y
-20.7%
Narrative Update • May 17

HDFCBANK: Governance Actions And Dividends Will Support Future Share Price Rebound

Analysts have slightly trimmed their fair value estimate for HDFC Bank, with the price target moving marginally lower from about ₹1,041.89 to ₹1,041.08, reflecting updated assumptions on the discount rate, revenue growth, profit margins and future P/E. What's in the News Board meeting on March 26, 2026 to consider re appointing Dr. Sunita Maheshwari as an independent director for a three year term from March 30, 2026 to March 29, 2029, subject to shareholder approval (Board Meeting).
532215
₹1,285.25
Axis Bank
7D
3.2%
1Y
6.2%
Narrative Update • May 16

532215: EV Financing Partnership Will Support Stronger Long Term Outlook

Analysts have lifted Axis Bank's price target from ₹1,483.92 to ₹1,581.45, citing updated assumptions around revenue growth, profit margins and future P/E, which they say support a higher fair value estimate. What's in the News Axis Bank has scheduled a board meeting on April 25, 2026, to review audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, consider a final dividend for the year, evaluate fund raising options, and approve convening the 32nd Annual General Meeting (Key Developments).
SBIN
₹949.20
State Bank of India
7D
-1.5%
1Y
20.1%
BANKBARODA
₹265.40
Bank of Baroda
7D
1.5%
1Y
9.2%
500247
₹384.20
Kotak Mahindra Bank
7D
-0.8%
1Y
-8.6%
Narrative Update • May 11

500247: Dividend And Governance Decisions Will Support Future Upside Potential

Analysts have reduced their fair value estimate for Kotak Mahindra Bank from ₹468.47 to ₹461.33, citing updated assumptions that include slightly softer revenue expectations, a modestly higher profit margin outlook, and a somewhat lower future P/E multiple. What's in the News Kotak Mahindra Bank's board has recommended a dividend of ₹0.65 per equity share with a face value of ₹1 for the year ended March 31, 2026, subject to shareholder approval (Key Developments).
MAHABANK
₹80.04
Bank of Maharashtra
7D
2.6%
1Y
56.2%
New Narrative • May 10

Renewable Lending And Branch Expansion Will Support Resilient Long Term Performance

Catalysts About Bank of Maharashtra Bank of Maharashtra is a public sector bank with a nationwide branch network that offers retail, agriculture, MSME, corporate banking and treasury services. What are the underlying business or industry changes driving this perspective?
INDUSINDBK
₹910.15
IndusInd Bank
7D
2.7%
1Y
14.7%
Narrative Update • May 09

INDUSINDBK: Higher Future P/E Will Likely Reveal Persistent Earnings Vulnerability

Analysts have raised their fair value estimate for IndusInd Bank from ₹547.15 to ₹643.82, reflecting updated assumptions for discount rate, revenue growth, profit margin and future P/E, which they view as better aligning the stock with its current fundamentals. What's in the News Board meeting scheduled for April 24, 2026 to review audited consolidated and standalone results for the quarter and year ended March 31, 2026; consider a dividend recommendation for FY 2025-26; and approve a Fair Disclosure Code for unpublished price sensitive information (company filing).
IDBI
₹72.65
IDBI Bank
7D
3.2%
1Y
-22.7%
CENTRALBK
₹31.27
Central Bank of India
7D
-8.4%
1Y
-16.1%
539437
₹68.90
IDFC First Bank
7D
1.9%
1Y
2.7%
Narrative Update • May 02

539437: Upcoming Meetings And Margin Outlook Will Guide Fair Assessment

Analysts have trimmed their price target on IDFC First Bank from about ₹89.83 to around ₹75.06. This reflects updated assumptions that pair a lower expected revenue growth rate with a reduced future P/E multiple, while incorporating slightly improved profit margin expectations and a small adjustment to the discount rate.
FEDERALBNK
₹287.20
Federal Bank
7D
2.1%
1Y
41.2%
ICICIBANK
₹1,264.30
ICICI Bank
7D
1.6%
1Y
-12.8%
UNIONBANK
₹160.72
Union Bank of India
7D
-0.8%
1Y
14.4%