Top Small finance Bank stocks in India
Small finance banks are a specialized category of banks that focus on serving individuals and groups in society who have been overlooked or underserved by traditional banking institutions. Unlike full-fledged commercial banks, these banks primarily engage in basic banking operations, including accepting deposits and providing loans. Their customer base typically comprises small business enterprises, small and marginal farmers, and micro and small enterprises. Provided below is a compilation of leading small finance bank stocks in India.
AU Small finance bank
Originally established as ‘AU Financiers Ltd’ in 1996 in Jaipur, It started its operations as a vehicle finance company. However, on 19th April 2017, it underwent a transformation and was converted into a small finance bank.
- Market capitalisation of stock – Rs. 36,924.98 Crores
- 1 year stock return – 21.37%
- 3 year stock return – 139.50%
- Revenue (in Rs. Crore) – 4950.05
- Net profit (in Rs Crore) – 1170.69
- Debt to equity – 6.97
- P/E Ratio – 46.2
- Net Interest Margin – 4.58
Equitas Small Finance bank
It is based in Chennai, was established in 2016 as a subsidiary of Equitas Holdings, its parent company. In 2021, both Equitas Small Finance Bank and Equitas Holdings’ boards gave their approval for a reverse merger, effectively integrating the two entities.
- Market Capitalisation of the stock: Rs 7,129.29 crore
- 1 year stock return – 3.00%
- 3 year stock return – 82.32%
- Revenue (in Rs. Crore) – 3194.41
- Net profit (in Rs Crore) – 384.22
- Debt to equity – 6.05
- P/E Ratio – 25.8
- Net Interest Margin – –
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Ujjivan Small Finance Bank
It based in Bangalore, was established on February 1, 2017. It operates as a subsidiary of Ujjivan Financial Services, which holds an 80% ownership in the bank.
Market Capitalisation of the stock: Rs 3876.74 crore
- 1 year stock return – -40.80%
- 3 year stock return – -69.62
- Revenue (in Rs. Crore) – 2806.07
- Net profit (in Rs Crore) – 8.30
- Debt to equity – 5.16
- P/E Ratio – 369.87
- Net Interest Margin – 8.48
Suryoday small finance bank
It was originally founded in 2008 under the name Suryoday Micro Finance. It transitioned into a small finance bank on January 23rd, 2017, and has successfully catered to more than 1.4 million customers to date.
- Market Capitalisation of the stock: Rs 1867.49 crore
- 1 year stock return – -44.44%
- 3 year stock return – -50.53%
- Revenue (in Rs. Crore) – 776.14
- Net profit (in Rs Crore) – 11.86
- Debt to equity – 3.08
- P/E Ratio – 127.25
- Net Interest Margin – 6.11
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