NSEI:CANBK

Stock Analysis Report

Executive Summary

Canara Bank provides various banking products and services in India and internationally.


Snowflake Analysis

Adequate balance sheet and slightly overvalued.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: CANBK's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-4.2%

CANBK

-0.3%

IN Banks

-0.08%

IN Market


1 Year Return

-22.2%

CANBK

8.1%

IN Banks

9.5%

IN Market

Return vs Industry: CANBK underperformed the Indian Banks industry which returned 8.1% over the past year.

Return vs Market: CANBK underperformed the Indian Market which returned 9.5% over the past year.


Shareholder returns

CANBKIndustryMarket
7 Day-4.2%-0.3%-0.08%
30 Day-21.8%-0.7%0.01%
90 Day-21.9%-2.6%3.2%
1 Year-22.2%-22.2%8.5%8.1%11.5%9.5%
3 Year-40.6%-40.8%12.8%11.6%23.6%16.7%
5 Year-54.8%-57.7%11.5%7.9%35.5%22.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

17.92x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

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

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


Price To Earnings Ratio

PE vs Industry: CANBK is good value based on its PE Ratio (17.9x) compared to the Banks industry average (18.1x).

PE vs Market: CANBK is poor value based on its PE Ratio (17.9x) compared to the Indian market (13.3x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: CANBK is good value based on its PB Ratio (0.3x) compared to the IN Banks industry average (0.6x).


Next Steps

Future Growth

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

22.9%

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 Canara 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 Canara Bank performed over the past 5 years?

8.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: CANBK has a high level of non-cash earnings.

Growing Profit Margin: CANBK became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: CANBK has become profitable over the past 5 years, growing earnings by 8.3% per year.

Accelerating Growth: CANBK has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: CANBK has become profitable in the last year, making it difficult to compare its past year earnings growth to the Banks industry (25.5%).


Return on Equity

High ROE: CANBK's Return on Equity (1.8%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Canara 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: CANBK has a low level of unsold assets or inventory.

Debt Coverage by Assets: CANBK's debt is covered by short term assets (assets are 2x 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: CANBK is profitable, therefore cash runway is not a concern.

Forecast Cash Runway: CANBK is profitable, therefore cash runway is not a concern.


Financial Institutions Analysis

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

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

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

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

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

Level of Bad Loans: CANBK has a high level of bad loans (9.06%)


Next Steps

Dividend

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


Dividend Yield vs Market

company0%marketbottom25%0.6%markettop25%2.6%industryaverage0.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate CANBK'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 CANBK's dividends per share have been stable in the past.

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


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of CANBK'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?

2.2yrs

Average management tenure


CEO

Lingam Prabhakar (57yo)

0

Mr. Lingam Venkata Prabhakar serves as Managing Director and Chief Executive Director of Canara Bank since February 1, 2020. He has been Non-Executive Director at PNB MetLife India Insurance Company Ltd. s ...


Leadership Team

NamePositionTenureCompensationOwnership
Matam Rao
Executive Director2.3yrsno data0.00028% 498.3k
Debashish Mukherjee
Executive Director2yrsno data0.000050% 89.0k
A. Manimekhalai
Executive Director1yrsno datano data
Lingam Prabhakar
MD, CEO & Director0yrsno datano data
V. Ramachandra
CFO & GM1yrsno datano data
Vinay Mohta
Compliance Officer0yrsno datano data
S. Bhat
Chief General Manager and Head of BR8.6yrsno datano data
Anil Mittal
Chief Vigilance Officer2.8yrsno datano data
A.V. Rao
Group Chief Risk Officer0.8yrsno datano data
S. Kohli
General Secretary of Officers Association0yrsno datano data

2.2yrs

Average Tenure

53yo

Average Age

Experienced Management: CANBK's management team is considered experienced (2.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Matam Rao
Executive Director2.3yrsno data0.00028% 498.3k
Debashish Mukherjee
Executive Director2yrsno data0.000050% 89.0k
A. Manimekhalai
Executive Director1yrsno datano data
Lingam Prabhakar
MD, CEO & Director0yrsno datano data
Thothala Manoharan
Chairman of the Board4.5yrs₹1.03mno data
S. Raghunath
Part- Time Non- Official Director1.1yrsno datano data
Suchindra Misra
Government of India Nominee Director3.7yrsno datano data
Venkatachalam Ramakrishna Iyer
Shareholder Director3.6yrs₹1.41m0.000010% 17.8k
R. Kesavan
Reserve Bank of India Nominee Director0.8yrsno datano data
Bimal Sharma
Shareholder Director0.6yrsno datano data

2.0yrs

Average Tenure

55yo

Average Age

Experienced Board: CANBK's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

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 diluted in the past year, with total shares outstanding growing by 11.7%.


Top Shareholders

Company Information

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


Key Information

  • Name: Canara Bank
  • Ticker: CANBK
  • Exchange: NSEI
  • Founded: 1906
  • Industry: Diversified Banks
  • Sector: Banks
  • Market Cap: ₹177.973b
  • Shares outstanding: 1.03b
  • Website: https://www.canarabank.com

Location

  • Canara Bank
  • No. 112, J C Road
  • Bengaluru
  • Karnataka
  • 560002
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532483BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2002
CANBKNSEI (National Stock Exchange of India)YesEquity SharesININRDec 2002

Biography

Canara Bank provides various banking products and services in India and internationally. It offers personal banking services, such as savings and deposits comprising savings accounts, current accounts, recurring deposits, fixed deposits, unclaimed deposits, deposit schemes for senior citizens, re-investment plans, and others; loan products, such as housing, home improvement, vehicle, site, teachers, gold, mortgage, housing-cum-solar, consumer, and other loans; life, general, and health insurance products; consultancy services, which cover personal tax assistance and investment counselling, estate and wills services, private and charitable trustee services, debenture and security trusteeship, and attorneyship; foreign exchange and international banking services; mutual funds; and safe deposit lockers, depository, safe custody, and card services. The company also provides corporate banking products and services, including accounts and deposits, such as current, fixed, and recurring deposits; supply chain finance management; loans and advances comprising working capital finance, term loans, infrastructure financing, and export finance; syndication services; IPO monitoring services; and merchant and commercial banking, escrow bankers/ASBA, underwriting, and investments services. In addition, it offers NRI banking products and services, such as remittance facilities; loans and advances, such as home, home improvement, vehicle, rent, mortgage, and site loans; and investment and online trading facilities. As of March 31, 2019, the company operated 6,316 branches, including 287 specialized branches and 6 overseas branches and 8,851 ATMs. Canara Bank was founded in 1906 and is headquartered in Bengaluru, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/22 13:02
End of Day Share Price2020/02/20 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.