The Federal Bank Limited (FEDERALBNK) fair value: what the stock is really worth
As of Nov 6, 2026: fair value (intrinsic value) of The Federal Bank Limited stock ₹151, price ₹340, that is 55.6% below the price, quality 49 out of 100. Rating: strongly overvalued. Calculated from audited financials with 6 of our 26 valuation models and 37 quality factors, updated daily.
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The Federal Bank Limited
FEDERALBNK · NSEOur calculation puts a fair price 56% below what the stock costs today.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 8, 2026.
How to read this chart
60‑month range ₹75.11 – ₹371.70 · fair‑value band ₹137.29 – ₹189.76 · the ₹340.10 price screens above the ₹151.11 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. As of Nov 8, 2026.
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Company profile
The Federal Bank Limited provides a range of banking and financial services in India. The company operates through four segments: Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations segments.
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Its deposit products include savings accounts, current accounts, demat accounts, salary accounts, fixed deposits, cash certificates, recurring deposits, exchange earners' foreign currency accounts, gilt accounts, resident foreign currency (RFC) domestic and other accounts, and NRI deposit schemes.
The company's loan portfolio comprises personal, gold, housing, car, property, education and career, digital personal, instant digital, SME business, and other loans; loans against sovereign gold bonds and fixed deposit; term loans, project finance, and working capital loans; and debit and credit cards.
In addition, it offers life, health, and general insurance products; cash management, wealth management, and merchant banking services; sovereign gold bonds, online trading, and national pension system; treasury products, such as FX retail, forward contracts, options, and swaps; and remittance, fund transfer, payment and collection, bill discounting, bank guarantees, letter of credit, post shipment limit, LC bill discounting, packing credit loan in foreign currency, and rediscounting of export bills abroad services; and deposit locker, e-commerce, internet banking, mobile banking, and tele banking services.
The Federal Bank Limited operates a network of branches and ATMs/cash recyclers. The company was formerly known as Travancore Federal Bank Limited and changed its name to The Federal Bank Limited in March 1947. The Federal Bank Limited was incorporated in 1931 and is based in Aluva, India.
Stock analysis
The Federal Bank Limited (FEDERALBNK) currently trades at ₹340.10, while our model-based Fair Value estimate is ₹151.11, 56% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Multiples group reads highest at a median of ₹221.96 per share, and 0 of the 6 models we run sit above the ₹340.10 price.
Bear case: the Dividend Discount group reads lowest at ₹16.29, and 6 of the 6 models stay below the price. Data coverage for this calculation is high.
Scenario range: ₹137.29 (bear) to ₹189.76 (bull), the price of ₹340.10 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 49/100 (below-average quality), in the Financial Services sector.
Healthy Growth: Revenue growth appears healthy and is supported by profitability and cash-flow quality.
The Federal Bank Limited reported revenue of ₹343B in FY2026 versus ₹165B in FY2022, a compound +20.0%/yr. Reported net income was ₹43.5B in FY2026, compounding +21.9%/yr from FY2022.
Key figures
Market cap ₹845B (≈ $9.0B) Mid · P/E ratio 16.6 · P/S ratio 5.12 · EPS (TTM) ₹20.48 · Dividend yield 0.4% · Net margin 31.4% · Return on equity 13.3% · Return on assets (EBIT) 1.5% (5-year average).
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 66 out of 100 (low confidence).
What moves the price
The share trades about 9% below its 52-week high and 44% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Financial Services peers we cover trades at −28% fair-value upside, at −56%, FEDERALBNK screens richer than that median.
Fair Value models
All 6 models by family
Quality Score breakdown
It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.
Revenue & earnings trend
Compare The Federal Bank Limited with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Banks - Regional · 998 stocks
Valuation Multiplesvs Banks - Regional median · lower = cheaper
Strength profile in five axes (Snowflake)
VALUE 0: the price sits above our fair-value range.
HEALTH: for banks, insurers and similar financial firms borrowed money is part of the business, so we do not rate debt here.
Context: sector, industry, market
- Is the Financials sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- PEG ratio by industry
- Revenue growth by industry
- PEG screener for stocks with fair value
- Undervalued stocks: Indian Stocks
- Valuation of the India market
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value | Compare |
|---|---|---|---|---|
| Postal Savings Bank of China Co 601658 | ¥5.53 | ¥7.59 | +37% | vs FEDERALBNK |
| China Merchants Bank Co 600036 | ¥42.88 | ¥52.73 | +23% | vs FEDERALBNK |
| BNP Paribas SA BNP | €91.93 | €106.01 | +15% | vs FEDERALBNK |
| Intesa Sanpaolo S.p.A ISP | €6.18 | €4.49 | −27% | vs FEDERALBNK |
| State Bank of India SBIN | ₹1,019 | ₹736.65 | −28% | vs FEDERALBNK |
| UniCredit S.p.A UCG | €76.80 | €50.44 | −34% | vs FEDERALBNK |
| Mizuho Financial Group MFG | $9.40 | $5.90 | −37% | vs FEDERALBNK |
| DBS Group D05 | 69.72 SGD | 40.39 SGD | −42% | vs FEDERALBNK |
| HDFC Bank Limited HDFCBANK | ₹788.25 | ₹406.39 | −48% | vs FEDERALBNK |
| ICICI Bank Limited ICICIBANK | ₹1,571 | ₹615.63 | −61% | vs FEDERALBNK |
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Frequently asked questions
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Key figures of The Federal Bank Limited
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