The Federal Bank Limited

NSEI:FEDERALBNK Stock Report

Market Cap: ₹505.7b

Federal Bank Valuation

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

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

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 (₹206.14) is trading above our estimate of fair value (₹147.36)

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

Key Valuation Metric

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

Key metric: As FEDERALBNK is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for FEDERALBNK. This is calculated by dividing FEDERALBNK's market cap by their current earnings.
What is FEDERALBNK's PE Ratio?
PE Ratio12.2x
Earnings₹41.30b
Market Cap₹505.73b

Price to Earnings Ratio vs Peers

How does FEDERALBNK's PE Ratio compare to its 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.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average16.1x
CENTRALBK Central Bank of India
13.7xn/a₹468.4b
UCOBANK UCO Bank
24.1xn/a₹527.0b
BANKINDIA Bank of India
6x2.9%₹472.6b
539437 IDFC First Bank
20.4x40.1%₹473.6b
FEDERALBNK Federal Bank
12.2x13.3%₹505.7b

Price-To-Earnings vs Peers: FEDERALBNK is good value based on its Price-To-Earnings Ratio (12.2x) compared to the peer average (16.1x).

Price to Earnings Ratio vs Industry

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

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No more companies available in this PE range
FEDERALBNK 12.2xIndustry Avg. 10.0xNo. of Companies8PE0816243240+
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: FEDERALBNK is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the Indian Banks industry average (10x).

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 Ratio12.2x
Fair PE Ratio10.3x

Price-To-Earnings vs Fair Ratio: FEDERALBNK is expensive based on its Price-To-Earnings Ratio (12.2x) compared to the estimated Fair Price-To-Earnings Ratio (10.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst FEDERALBNK forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹206.14
₹225.53
+9.4%
9.2%₹270.00₹183.00n/a34
Dec ’25₹210.78
₹223.09
+5.8%
8.3%₹250.00₹183.00n/a34
Nov ’25₹204.17
₹221.57
+8.5%
8.6%₹250.00₹183.00n/a35
Oct ’25₹197.12
₹218.36
+10.8%
10.0%₹250.00₹165.00n/a35
Sep ’25₹194.70
₹218.11
+12.0%
9.9%₹250.00₹165.00n/a34
Aug ’25₹200.75
₹217.96
+8.6%
9.9%₹250.00₹165.00n/a34
Jul ’25₹177.74
₹188.81
+6.2%
7.1%₹205.00₹155.00n/a33
Jun ’25₹162.05
₹188.66
+16.4%
7.0%₹205.00₹155.00n/a33
May ’25₹162.60
₹176.26
+8.4%
8.6%₹200.00₹135.00n/a32
Apr ’25₹152.35
₹176.42
+15.8%
7.8%₹200.00₹135.00n/a32
Mar ’25₹152.60
₹175.59
+15.1%
7.8%₹200.00₹135.00n/a31
Feb ’25₹146.85
₹175.11
+19.2%
7.8%₹200.00₹135.00n/a30
Jan ’25₹156.55
₹173.46
+10.8%
5.5%₹195.00₹154.00₹200.5128
Dec ’24₹148.75
₹171.50
+15.3%
5.6%₹195.00₹154.00₹210.7828
Nov ’24₹140.50
₹171.50
+22.1%
5.6%₹195.00₹154.00₹204.1728
Oct ’24₹147.20
₹161.25
+9.5%
6.2%₹190.00₹140.00₹197.1228
Sep ’24₹143.80
₹161.25
+12.1%
6.2%₹190.00₹140.00₹194.7028
Aug ’24₹135.10
₹161.25
+19.4%
6.2%₹190.00₹140.00₹200.7528
Jul ’24₹126.15
₹164.50
+30.4%
8.5%₹204.00₹140.00₹177.7426
Jun ’24₹125.50
₹165.46
+31.8%
8.5%₹204.00₹140.00₹162.0526
May ’24₹134.95
₹167.08
+23.8%
8.1%₹192.00₹134.00₹162.6024
Apr ’24₹132.30
₹167.08
+26.3%
8.1%₹192.00₹134.00₹152.3524
Mar ’24₹134.35
₹166.52
+23.9%
8.2%₹192.00₹134.00₹152.6023
Feb ’24₹131.35
₹165.65
+26.1%
9.5%₹192.00₹120.00₹146.8523
Jan ’24₹139.05
₹152.32
+9.5%
9.4%₹184.00₹116.00₹156.5522

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/02 01:44
End of Day Share Price 2025/01/02 00:00
Earnings2024/09/30
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

The Federal Bank Limited is covered by 63 analysts. 34 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Pankaj AgarwalAmbit Capital
Yuvraj ChoudharyAnand Rathi Shares and Stock Brokers Limited
Vaibhav AgrawalAngel Broking Private Limited