Kotak Mahindra Bank
Market Cap
₹2.7t
Last Updated
2020/07/10 12:35 UTC
Data Sources
Company Financials +
Executive Summary
Kotak Mahindra Bank Limited, provides banking and financial services to corporate and individual customers in India.
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet with acceptable track record.
Similar Companies
Share Price & News
How has Kotak Mahindra Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 500247 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.3%
500247
3.5%
IN Banks
2.0%
IN Market
1 Year Return
-9.1%
500247
-28.1%
IN Banks
-5.4%
IN Market
Return vs Industry: 500247 exceeded the Indian Banks industry which returned -28.1% over the past year.
Return vs Market: 500247 underperformed the Indian Market which returned -5.4% over the past year.
Shareholder returns
| 500247 | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.3% | 3.5% | 2.0% |
| 30 Day | 1.1% | 11.5% | 7.0% |
| 90 Day | 5.7% | 18.3% | 18.6% |
| 1 Year | -9.1%-9.1% | -28.0%-28.1% | -3.5%-5.4% |
| 3 Year | 38.3%38.1% | -29.4%-30.0% | 1.0%-3.8% |
| 5 Year | 84.5%84.0% | -14.4%-16.2% | 25.6%15.9% |
Price Volatility Vs. Market
How volatile is Kotak Mahindra Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 years ago | Simply Wall St
Is It Time To Sell Kotak Mahindra Bank Limited (BOM:500247) Based Off Its PE Ratio?Valuation
Is Kotak Mahindra Bank undervalued compared to its fair value and its price relative to the market?
30.17x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 500247 (₹1349.5) is trading above our estimate of fair value (₹237.85)
Significantly Below Fair Value: 500247 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 500247 is poor value based on its PE Ratio (30.2x) compared to the IN Banks industry average (17.8x).
PE vs Market: 500247 is poor value based on its PE Ratio (30.2x) compared to the Indian market (12.6x).
Price to Earnings Growth Ratio
PEG Ratio: 500247 is poor value based on its PEG Ratio (2.5x)
Price to Book Ratio
PB vs Industry: 500247 is overvalued based on its PB Ratio (3.9x) compared to the IN Banks industry average (0.7x).
Next Steps
Future Growth
How is Kotak Mahindra Bank forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?
12.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 500247's forecast earnings growth (12.2% per year) is above the savings rate (7.2%).
Earnings vs Market: 500247's earnings (12.2% per year) are forecast to grow slower than the Indian market (18.9% per year).
High Growth Earnings: 500247's earnings are forecast to grow, but not significantly.
Revenue vs Market: 500247's revenue (13.9% per year) is forecast to grow faster than the Indian market (7.3% per year).
High Growth Revenue: 500247's revenue (13.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 500247's Return on Equity is forecast to be low in 3 years time (12.6%).
Next Steps
Past Performance
How has Kotak Mahindra Bank performed over the past 5 years?
21.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 500247 has high quality earnings.
Growing Profit Margin: 500247's current net profit margins (26.8%) are higher than last year (24.1%).
Past Earnings Growth Analysis
Earnings Trend: 500247's earnings have grown significantly by 21.9% per year over the past 5 years.
Accelerating Growth: 500247's earnings growth over the past year (19.1%) is below its 5-year average (21.9% per year).
Earnings vs Industry: 500247 earnings growth over the past year (19.1%) underperformed the Banks industry 19.9%.
Return on Equity
High ROE: 500247's Return on Equity (12.8%) is considered low.
Next Steps
Financial Health
How is Kotak Mahindra Bank's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: 500247's Assets to Equity ratio (6.6x) is low.
Allowance for Bad Loans: Insufficient data to determine if 500247 has a sufficient allowance for bad loans.
Low Risk Liabilities: 69% of 500247's liabilities are made up of primarily low risk sources of funding.
Loan Level: 500247 has an appropriate level of Loans to Assets ratio (56%).
Low Risk Deposits: 500247's Loans to Deposits ratio (96%) is appropriate.
Level of Bad Loans: 500247 has a high level of bad loans (2%).
Next Steps
Dividend
What is Kotak Mahindra Bank current dividend yield, its reliability and sustainability?
0.10%
Forecast Dividend Yield
Dividend Yield vs Market
Notable Dividend: Unable to evaluate 500247's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate 500247's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if 500247's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if 500247's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: 500247 is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of 500247's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.8yrs
Average board tenure
CEO
Uday Kotak (61yo)
no data
Tenure
₹29,700
Compensation
Mr. Uday Suresh Kotak, B.Com, MMS, serves as Director at Kotak Mahindra Investments Ltd. He serves as Chief Executive Officer of Kotak Mahindra Bank Limited since May 1, 2018 and also serves as its Member ...
CEO Compensation Analysis
Compensation vs Market: Uday's total compensation ($USD395.35) is below average for companies of similar size in the Indian market ($USD754.02K).
Compensation vs Earnings: Uday's compensation has been consistent with company performance over the past year.
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO | no data | ₹29.70k | 26.28% ₹711.4b | |
| Joint MD | 20.75yrs | ₹29.46k | 0.057% ₹1.6b | |
| President of Corporate | 0.67yr | ₹29.70k | 0.027% ₹743.7m | |
| Whole Time Director | 0.67yr | ₹30.30k | 0.042% ₹1.1b | |
| Non-Executive Director | 20.75yrs | ₹1.66k | 0.051% ₹1.4b | |
| Independent Non-Executive Director | 5.83yrs | ₹1.24k | 0.0035% ₹94.5m | |
| Independent Non-Executive Part-Time Chairman | 2yrs | ₹2.16k | no data | |
| Independent Non-Executive Director | 3.83yrs | ₹1.84k | 0.00015% ₹4.1m | |
| Independent Non-Executive Director | 1.33yrs | ₹960.00 | 0.000020% ₹541.5k | |
| Independent Non-Executive Director | 7.33yrs | ₹2.06k | no data |
3.8yrs
Average Tenure
61.5yo
Average Age
Experienced Board: 500247's board of directors are considered experienced (3.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 500247 insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.6%.
Top Shareholders
Company Information
Kotak Mahindra Bank Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Kotak Mahindra Bank Limited
- Ticker: 500247
- Exchange: BSE
- Founded: 1985
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: ₹2.707t
- Shares outstanding: 1.98b
- Website: https://www.kotak.com
Number of Employees
Location
- Kotak Mahindra Bank Limited
- Bandra Kurla Complex
- 27BKC, C 27
- Mumbai
- Maharashtra
- 400051
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 500247 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Mar 2000 |
| KOTAKBANK | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Mar 2000 |
| 715026 | BSE (Mumbai Stock Exchange) | 8.1% NON CUM PREF INR5 | IN | INR | Aug 2018 |
Biography
Kotak Mahindra Bank Limited, provides banking and financial services to corporate and individual customers in India. It operates through Treasury, BMU, and Corporate Centre; Retail Banking; Corporate/Wholesale Banking; Vehicle Financing; Other Lending Activities; Broking; Advisory and Transactional Services; Asset Management; and Insurance segments. The Treasury, BMU and Corporate Centre segment engages in dealing in debt, equity, money and forex market, derivatives, and investments; and the primary dealership of government securities and balance sheet management unit (BMU) responsible for asset liability management. The Retail Banking segment offers commercial vehicle finance, personal, home, and other loans/services, and agriculture finance services. This segment also provides savings, current, and term deposit accounts; branch banking network and services, including distribution of financial products; and credit cards. The Corporate/Wholesale Banking segment offers wholesale borrowings and lending, and other related services to the corporate sector. Its Vehicle Financing segment provides retail vehicle and wholesale trade finance to auto dealers. The Other Lending Activities segment offers financing against securities, securitization, and other loans/services. Its Broking segment provides brokerage income on market transactions and delayed payments interest; and distributes financial products. The Advisory and Transactional Services segment offers mergers and acquisition advice, and equity/debt issue management services. Its Asset Management segment engages in the management of funds and investments on behalf of clients and funds. The Insurance segment provides life insurance and general insurance products. As of March 31, 2020, it had a network of 1,600 branches and 2,519 ATMs; and branches in GIFT City and DIFC, Dubai. Kotak Mahindra Bank Limited was founded in 1985 and is based in Mumbai, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/07/10 12:35 |
| End of Day Share Price | 2020/07/10 00:00 |
| Earnings | 2020/03/31 |
| Annual Earnings | 2020/03/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.