BSE:532418

Stock Analysis Report

Executive Summary

Andhra Bank provides a range of banking products and services in India.


Snowflake Analysis

Adequate balance sheet and overvalued.


Similar Companies

Share Price & News

How has Andhra Bank's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 532418 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.2%

532418

-3.2%

IN Banks

-1.1%

IN Market


1 Year Return

-37.9%

532418

6.3%

IN Banks

7.3%

IN Market

Return vs Industry: 532418 underperformed the Indian Banks industry which returned 7.9% over the past year.

Return vs Market: 532418 underperformed the Indian Market which returned 6.7% over the past year.


Shareholder returns

532418IndustryMarket
7 Day-1.2%-3.2%-1.1%
30 Day-3.2%-4.6%1.5%
90 Day5.0%5.2%5.1%
1 Year-37.9%-37.9%6.7%6.3%9.3%7.3%
3 Year-66.2%-66.2%21.3%19.9%28.9%22.0%
5 Year-80.9%-81.6%1.9%-1.4%33.1%21.0%

Price Volatility Vs. Market

How volatile is Andhra Bank's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Andhra Bank undervalued compared to its fair value and its price relative to the market?

0.37x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate 532418's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate 532418's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: 532418 is unprofitable, so we can't compare its PE Ratio to the Banks industry average.

PE vs Market: 532418 is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 532418's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 532418 is good value based on its PB Ratio (0.4x) compared to the IN Banks industry average (0.7x).


Next Steps

Future Growth

How is Andhra Bank forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

24.0%

Forecasted Banks industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Andhra Bank has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Andhra Bank performed over the past 5 years?

-47.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532418 is currently unprofitable.

Growing Profit Margin: 532418 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 532418 is unprofitable, and losses have increased over the past 5 years at a rate of -47.6% per year.

Accelerating Growth: Unable to compare 532418's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 532418 is unprofitable, making it difficult to compare its past year earnings growth to the Banks industry (29.5%).


Return on Equity

High ROE: 532418 has a negative Return on Equity (-12.26%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Andhra 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

Inventory Level: 532418 has a low level of unsold assets or inventory.

Debt Coverage by Assets: 532418's debt is covered by short term assets (assets are 1.8x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 532418 has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: 532418 has sufficient cash runway for more than 3 years if free cash flow continues to grow at historical rates of 42.4% each year


Financial Institutions Analysis

Asset Level: 532418's level of assets compared to its equity is moderate.

Allowance for Bad Loans: Insufficient data to determine if 532418 has a sufficient allowance for bad loans.

Low Risk Liabilities: 532418's liabilities are made up of primarily low risk sources of funding.

Loan Level: 532418 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: 532418's loans are broadly funded by customer deposits.

Level of Bad Loans: 532418 has a high level of bad loans (19.14%)


Next Steps

Dividend

What is Andhra Bank's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.3%industryaverage0.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 532418's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 532418's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 532418's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 532418's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 532418 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 532418's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Andhra Bank's salary, the management and board of directors tenure and is there insider trading?

1.4yrs

Average management tenure


CEO

J. Packirisamy 0

1.3yrs

Tenure

₹2,698,575

Compensation

Mr. J. Packirisamy has been Managing Director, Chief Executive Officer and Director of Andhra Bank since September 21, 2018. Mr. Packirisamy served as Deputy Managing Director of Mid Corporate Group at Sta ...


CEO Compensation Analysis

Compensation vs Market: J.'s total compensation ($USD38.08K) is below average for companies of similar size in the Indian market ($USD390.22K).

Compensation vs Earnings: Insufficient data to compare J.'s compensation with company performance.


Management Age and Tenure

1.4yrs

Average Tenure

Experienced Management: 532418's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Age and Tenure

2.3yrs

Average Tenure

Experienced Board: 532418's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 101.6%.


Management Team

  • Kul Jain

    Executive Director

    • Tenure: 2.3yrs
    • Compensation: ₹2.36m
  • J. Packirisamy

    CEO, MD & Director

    • Tenure: 1.3yrs
    • Compensation: ₹2.70m
  • Syamal Ray

    BR Head & GM

    • A. Aravind

      Chief Vigilance Officer

      • R. Srinivasan

        Chief Risk Officer

        • Tenure: 2.4yrs
      • M. Babu Prasad

        CFO & GM

        • Tenure: 1.7yrs
      • Bhaskara Kare

        General Manager

        • Tenure: 2yrs
      • Raghuram Mallela

        Interim Compliance Officer & Company Secretary

        • Tenure: 1.4yrs
      • C. Raghunath

        General Manager

        • Tenure: 1yrs
      • V. Reddy

        General Manager

        • Tenure: 1yrs

      Board Members

      • Aravamudan Kumar (65yo)

        Shareholder Director

        • Tenure: 4.8yrs
      • Gopalan Sivakumar (59yo)

        Shareholder Director

        • Tenure: 4.8yrs
      • Kul Jain

        Executive Director

        • Tenure: 2.3yrs
        • Compensation: ₹2.36m
      • J. Packirisamy

        CEO, MD & Director

        • Tenure: 1.3yrs
        • Compensation: ₹2.70m
      • Anjana Dube

        Government Nominee Director

        • Tenure: 2.8yrs
      • Balagopal Mahapatra

        Independent Director

        • Tenure: 2.1yrs
      • P. Thomas

        Nominee Director

        • Tenure: 0.8yrs

      Company Information

      Andhra Bank's company bio, employee growth, exchange listings and data sources


      Key Information

      • Name: Andhra Bank
      • Ticker: 532418
      • Exchange: BSE
      • Founded: 1923
      • Industry: Diversified Banks
      • Sector: Banks
      • Market Cap: ₹50.736b
      • Shares outstanding: 2.98b
      • Website: https://www.andhrabank.in

      Location

      • Andhra Bank
      • 5-9-11, Dr. Pattabhi Bhavan
      • Secretariat Road
      • Hyderabad
      • Andhra Pradesh
      • 500004
      • India

      Listings

      TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
      532418BSE (Mumbai Stock Exchange)YesEquity SharesININRApr 2001
      ANDHRABANKNSEI (National Stock Exchange of India)YesEquity SharesININRApr 2001

      Biography

      Andhra Bank provides a range of banking products and services in India. The company operates through Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations segments. It offers deposit products, including savings and current accounts, and term deposits; and loans, such as housing, vehicle, educational, personal, professional, property overdraft and term, and reverse mortgage loans, as well as loans against gold, rent receivables, national savings certificates, Kisan Vikas Patra, life insurance policies, and other securities. The company also provides credit facilities comprising working capital finance, export import finance, working capital demand loans, bill finance, project and infrastructure finance, term finance, corporate loans, equipment finance, bridge loans, advances against share deposits, bank guarantees, and letters of credit, as well as forward contracts. In addition, it offers credit, debit, and prepaid cards; DMAT services; payment services; life, non-life, and health insurance products; mutual funds; project appraisal and loan syndication services; NRI banking services; and services to micro, small, and medium enterprises. Further, the company provides credit for agriculture activities; women empowerment schemes; and various special schemes; and Internet and mobile banking services, as well as operates rural self-employment training institutes. As of March 31, 2019, it had 2,885 branches; 4 extension counters; and 3,798 ATMs/BNAs/CRs in 26 states and 3 union territories, as well as 1 representative office at Dubai. The company was founded in 1923 and is headquartered in Hyderabad, India. 


      Company Analysis and Financial Data Status

      All financial data provided by Standard & Poor's Capital IQ.
      DataLast Updated (UTC time)
      Company Analysis2020/01/22 12:36
      End of Day Share Price2020/01/22 00:00
      Earnings2019/09/30
      Annual Earnings2019/03/31


      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.