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FEDE

Federal Bank NSEI:FEDERALBNK Stock Report

Last Price

₹89.35

Market Cap

₹187.9b

7D

2.3%

1Y

4.2%

Updated

24 Jun, 2022

Data

Company Financials
FEDERALBNK fundamental analysis
Snowflake Score
Valuation2/6
Future Growth0/6
Past Performance2/6
Financial Health4/6
Dividends4/6

FEDERALBNK Stock Overview

The Federal Bank Limited provides a range of banking and financial services in India.

Federal Bank Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Federal Bank
Historical stock prices
Current Share Price₹89.35
52 Week High₹107.65
52 Week Low₹77.50
Beta0.96
1 Month Change7.01%
3 Month Change-8.36%
1 Year Change4.20%
3 Year Change-17.57%
5 Year Change-20.82%
Change since IPO897.40%

Recent News & Updates

Shareholder Returns

FEDERALBNKIN BanksIN Market
7D2.3%2.8%2.3%
1Y4.2%-6.4%-0.9%

Return vs Industry: FEDERALBNK exceeded the Indian Banks industry which returned -6.3% over the past year.

Return vs Market: FEDERALBNK exceeded the Indian Market which returned -1.7% over the past year.

Price Volatility

Is FEDERALBNK's price volatile compared to industry and market?
FEDERALBNK volatility
FEDERALBNK Average Weekly Movement4.4%
Banks Industry Average Movement5.2%
Market Average Movement6.9%
10% most volatile stocks in IN Market9.9%
10% least volatile stocks in IN Market4.5%

Stable Share Price: FEDERALBNK is less volatile than 75% of Indian stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: FEDERALBNK's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
193112,592Shyam Srinivasanhttps://www.federalbank.co.in

The Federal Bank Limited provides a range of banking and financial services in India. It operates through Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations segments. The company’s deposit products include savings accounts, current accounts, demat accounts, salary accounts, fixed deposits, cash certificates, recurring deposits, foreign currency accounts, gilt accounts, and NRI deposit schemes.

Federal Bank Fundamentals Summary

How do Federal Bank's earnings and revenue compare to its market cap?
FEDERALBNK fundamental statistics
Market Cap₹187.86b
Earnings (TTM)₹19.70b
Revenue (TTM)₹72.38b

9.5x

P/E Ratio

1.0x

P/B Ratio

Is FEDERALBNK overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
FEDERALBNK income statement (TTM)
Revenue₹72.38b
Cost of Revenue₹0
Gross Profit₹72.38b
Other Expenses₹52.69b
Earnings₹19.70b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)9.37
Gross Margin100.00%
Net Profit Margin27.21%
Debt/Equity Ratio100.1%

How did FEDERALBNK perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

19%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is FEDERALBNK undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for FEDERALBNK?

Other financial metrics that can be useful for relative valuation.

FEDERALBNK key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Earnings Ratio vs Peers

How does FEDERALBNK's PE Ratio compare to its peers?

FEDERALBNK PE Ratio vs Peers
The above table shows the PE ratio for FEDERALBNK vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average13.5x

Price-To-Earnings vs Peers: FEDERALBNK is good value based on its Price-To-Earnings Ratio (9.5x) compared to the peer average (13.5x).


Price to Earnings Ratio vs Industry

How does FEDERALBNK's PE Ratio compare vs other companies in the Indian Banks Industry?

Price-To-Earnings vs Industry: FEDERALBNK is good value based on its Price-To-Earnings Ratio (9.5x) compared to the Indian Banks industry average (12x)


Price to Earnings Ratio vs Fair Ratio

What is FEDERALBNK's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

FEDERALBNK PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio9.5x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate FEDERALBNK's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of FEDERALBNK when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: FEDERALBNK (₹89.35) is trading above our estimate of fair value (₹38.84)

Significantly Below Fair Value: FEDERALBNK is trading above our estimate of fair value.


Price to Earnings Growth Ratio

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


Discover undervalued companies

Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


18.6%

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.


Discover growth companies

  • 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.

Past Performance

How has Federal Bank performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


13.2%

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 (27.2%) are lower than last year (27.3%).


Past Earnings Growth Analysis

Earnings Trend: FEDERALBNK's earnings have grown by 13.2% per year over the past 5 years.

Accelerating Growth: FEDERALBNK's earnings growth over the past year (18.4%) exceeds its 5-year average (13.2% per year).

Earnings vs Industry: FEDERALBNK earnings growth over the past year (18.4%) underperformed the Banks industry 43.6%.


Return on Equity

High ROE: FEDERALBNK's Return on Equity (10.2%) is considered low.


Discover strong past performing companies

Financial Health

How is Federal Bank's financial position? (This company is analysed differently as a bank or financial institution)

Financial Health Score

4/6

Financial Health Score 4/6

  • Asset Level

  • Allowance for Bad Loans

  • Low Risk Liabilities

  • Loan Level

  • Low Risk Deposits

  • Level of Bad Loans

Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet


Financial Institutions Analysis

Asset Level: FEDERALBNK's Assets to Equity ratio (11.6x) is moderate.

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

Low Risk Liabilities: 88% 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 (83%) is appropriate.

Level of Bad Loans: FEDERALBNK has a high level of bad loans (2.8%).


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Dividend

What is Federal Bank current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.01%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: FEDERALBNK's dividend (2.01%) is higher than the bottom 25% of dividend payers in the Indian market (0.44%).

High Dividend: FEDERALBNK's dividend (2.01%) is in the top 25% of dividend payers in the Indian market (1.9%)


Stability and Growth of Payments

Stable Dividend: FEDERALBNK's dividend payments have been volatile in the past 10 years.

Growing Dividend: FEDERALBNK's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Earnings Coverage: With its low payout ratio (18.9%), FEDERALBNK's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years or that it will be covered by earnings.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

1.9yrs

Average management tenure


CEO

Shyam Srinivasan (59 yo)

11.75yrs

Tenure

₹23,111,470

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 ($USD295.67K) is below average for companies of similar size in the Indian market ($USD611.16K).

Compensation vs Earnings: Shyam's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: FEDERALBNK's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: FEDERALBNK's board of directors are considered experienced (3 years average tenure).


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.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.3%.


Top Shareholders

Company Information

The Federal Bank Limited's 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
  • Implied Market Cap: ₹187.858b
  • Shares outstanding: 2.10b
  • 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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/24 00:00
End of Day Share Price2022/06/24 00:00
Earnings2022/03/31
Annual Earnings2022/03/31


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.