Federal Bank
Market Cap
₹113.3b
Last Updated
2020/10/21 12:33 UTC
Data Sources
Company Financials
Executive Summary
The Federal Bank Limited engages in commercial banking activities in India. More Details
Rewards
Risk Analysis
Snowflake Analysis
Adequate balance sheet and slightly overvalued.
Similar Companies
Share Price & News
How has Federal Bank's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FEDERALBNK has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
7.8%
FEDERALBNK
2.6%
IN Banks
-0.5%
IN Market
1 Year Return
-31.6%
FEDERALBNK
-21.5%
IN Banks
2.0%
IN Market
Return vs Industry: FEDERALBNK underperformed the Indian Banks industry which returned -21.5% over the past year.
Return vs Market: FEDERALBNK underperformed the Indian Market which returned 2% over the past year.
Shareholder returns
| FEDERALBNK | Industry | Market | |
|---|---|---|---|
| 7 Day | 7.8% | 2.6% | -0.5% |
| 30 Day | 14.5% | 8.1% | 0.3% |
| 90 Day | -0.2% | 3.1% | 7.1% |
| 1 Year | -31.6%-31.6% | -21.5%-21.5% | 3.7%2.0% |
| 3 Year | -51.6%-52.8% | -36.5%-37.2% | 2.0%-3.0% |
| 5 Year | 5.8%1.3% | -13.3%-15.2% | 40.9%30.4% |
Price Volatility Vs. Market
How volatile is Federal Bank's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
How Much Are The Federal Bank Limited (NSE:FEDERALBNK) Insiders Taking Off The Table?1 month ago | Simply Wall St
What Type Of Shareholders Own The Most Number of The Federal Bank Limited (NSE:FEDERALBNK) Shares?2 months ago | Simply Wall St
Reflecting on Federal Bank's (NSE:FEDERALBNK) Share Price Returns Over The Last Three YearsValuation
Is Federal Bank undervalued compared to its fair value and its price relative to the market?
7.54x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: FEDERALBNK (₹57) is trading above our estimate of fair value (₹28.71)
Significantly Below Fair Value: FEDERALBNK is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: FEDERALBNK is good value based on its PE Ratio (7.5x) compared to the IN Banks industry average (16.6x).
PE vs Market: FEDERALBNK is good value based on its PE Ratio (7.5x) compared to the Indian market (16.3x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate FEDERALBNK's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: FEDERALBNK's PB Ratio (0.7x) is in line with the IN Banks industry average.
Next Steps
Future Growth
How is Federal Bank forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?
21.6%
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 Federal 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
- Examine Federal Bank's financial health to determine how well-positioned it is against times of financial stress by looking at its level of debt over time and how much cash it has left.
- Federal Bank competitive advantages and company strategy can generally be found in its financial reports archived here.
- Explore growth companies in the Banks industry.
Past Performance
How has Federal Bank performed over the past 5 years?
20.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FEDERALBNK has a high level of non-cash earnings.
Growing Profit Margin: FEDERALBNK's current net profit margins (26.5%) are lower than last year (29.2%).
Past Earnings Growth Analysis
Earnings Trend: FEDERALBNK's earnings have grown significantly by 20% per year over the past 5 years.
Accelerating Growth: FEDERALBNK's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: FEDERALBNK had negative earnings growth (-3.7%) over the past year, making it difficult to compare to the Banks industry average (-0.3%).
Return on Equity
High ROE: FEDERALBNK's Return on Equity (9.6%) is considered low.
Next Steps
Financial Health
How is Federal 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: FEDERALBNK's Assets to Equity ratio (12.2x) is moderate.
Allowance for Bad Loans: Insufficient data to determine if FEDERALBNK has a sufficient allowance for bad loans.
Low Risk Liabilities: 89% of FEDERALBNK's liabilities are made up of primarily low risk sources of funding.
Loan Level: FEDERALBNK has an appropriate level of Loans to Assets ratio (66%).
Low Risk Deposits: FEDERALBNK's Loans to Deposits ratio (80%) is appropriate.
Level of Bad Loans: FEDERALBNK has a high level of bad loans (2.9%).
Next Steps
Dividend
What is Federal Bank current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate FEDERALBNK's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate FEDERALBNK'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 FEDERALBNK's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if FEDERALBNK's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: FEDERALBNK is not paying a notable dividend for the Indian market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of FEDERALBNK'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?
5.0yrs
Average management tenure
CEO
Shyam Srinivasan (58 yo)
10.08yrs
Tenure
₹22,660,615
Compensation
Mr. Shyam Srinivasan has been Managing Director, Chief Executive Officer and Director of Federal Bank Limited since September 2010. Mr. Srinivasan joined Bank after having worked with leading multinational ...
CEO Compensation Analysis
Compensation vs Market: Shyam's total compensation ($USD308.36K) is below average for companies of similar size in the Indian market ($USD607.39K).
Compensation vs Earnings: Shyam's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 10.08yrs | ₹22.66m | 0.040% ₹ 45.4m | |
| Executive Director & CFO | 4.75yrs | ₹15.62m | 0.018% ₹ 20.0m | |
| COO, Business Head of Retail Banking Products & Additional Executive Director | 0.75yr | ₹10.62m | no data | |
| Company Secretary & Compliance Officer | 0.83yr | ₹9.87m | no data | |
| Head of Investors Relation | no data | no data | no data | |
| Executive VP & Chief Human Resources Officer | 0.75yr | no data | 0.0020% ₹ 2.3m | |
| Senior Vice President | no data | no data | no data | |
| Head of Retail Business and General Manager of RBD & IBD | no data | no data | no data | |
| Zonal Head and General Manager | 6.42yrs | no data | no data | |
| Strategic Initiative & Optimization Head and Additional General Manager | no data | no data | no data | |
| Head of CSR Cell | no data | no data | no data | |
| Chief General Manager and Regional Head | no data | no data | no data |
5.0yrs
Average Tenure
57yo
Average Age
Experienced Management: FEDERALBNK's management team is seasoned and experienced (5 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 10.08yrs | ₹22.66m | 0.040% ₹ 45.4m | |
| Executive Director & CFO | 4.75yrs | ₹15.62m | 0.018% ₹ 20.0m | |
| COO, Business Head of Retail Banking Products & Additional Executive Director | 0.75yr | ₹10.62m | no data | |
| Additional Non-Executive Independent Director | 2.08yrs | ₹1.37m | 0.0030% ₹ 3.4m | |
| Part-Time Chairperson | 0.75yr | ₹2.35m | no data | |
| Additional Non-Executive Independent Director | 1.33yrs | ₹1.39m | no data | |
| Additional Non-Executive Independent Director | 0.67yr | ₹240.00k | no data | |
| Additional Non Executive Independent Director | 0.083yr | no data | no data | |
| Non-Executive Independent Director | 2.75yrs | ₹1.90m | no data | |
| Additional Non-Executive Independent Director | 1.33yrs | ₹1.63m | no data | |
| Independent Director | 5.33yrs | ₹1.48m | no data |
1.3yrs
Average Tenure
61yo
Average Age
Experienced Board: FEDERALBNK's board of directors are not considered experienced ( 1.3 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: FEDERALBNK insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
The Federal Bank Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Federal Bank Limited
- Ticker: FEDERALBNK
- Exchange: NSEI
- Founded: 1931
- Industry: Diversified Banks
- Sector: Banks
- Market Cap: ₹113.339b
- Shares outstanding: 1.99b
- Website: https://www.federalbank.co.in
Number of Employees
Location
- The Federal Bank Limited
- Federal Towers
- P O Box No.103
- Aluva
- Kerala
- 683101
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 500469 | BSE (Mumbai Stock Exchange) | Yes | Equity Shares | IN | INR | Feb 1995 |
| FEDERALBNK | NSEI (National Stock Exchange of India) | Yes | Equity Shares | IN | INR | Feb 1995 |
| FEDS | LSE (London Stock Exchange) | GDR (EACH REPR 1 ORD) (REGS) | GB | USD | Feb 2006 |
Biography
The Federal Bank Limited engages in commercial banking activities in India. It operates through four segments: Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations. The compa ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/21 12:33 |
| End of Day Share Price | 2020/10/21 00:00 |
| Earnings | 2020/09/30 |
| 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.