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IDFC First Bank Limited (IDFCFIRSTB) Fair Value & Analysis

Financial Services · IN · Market cap ₹696B

IF IDFC First Bank Limited IDFCFIRSTB · NSE
Price₹84.62
Fair Value₹20.66
Upside-75.6%
Quality31/100
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Mixed Growth
Highly profitable · 32.8% net margin
Moderate debt · generates free cash flow
Trails peers (2/14)
Moderate moat 59/100
Evidence: High Range ₹15.50 – ₹25.82 Share as image

Fair value as of: Jul 12, 2026

From 6 valuation models · updated 29 days ago

Share price +8.7% over the past month.

Below-average quality, and screening another 76% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹25.82). The favourable scenario is already priced in.
  • Weak quality (31/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (5 years)

₹98.88 ₹29.05 Fair Value ₹20.66 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 12, 2026.

How to read this chart

60‑month range ₹29.05 – ₹98.88 · fair‑value band ₹15.50 – ₹25.82 · the ₹84.62 price screens above the ₹20.66 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 12, 2026.

Full chart & analysis →

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Analysis

IDFC First Bank Limited (IDFCFIRSTB) currently trades at ₹84.62, while our model-based Fair Value estimate is ₹20.66, implying the stock looks roughly 75.6% overvalued today. The Quality Score stands at 31/100 (below-average quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, IDFC First Bank Limited generated revenue of ₹30.3B at a net margin of 32.8%. Revenue declined 1.1% year over year. It earns a return on equity of 3.7%. Net debt stands at ₹239B. Fundamentals as of Jul 12, 2026

Our scenario range runs from ₹15.50 (bear case) to ₹25.82 (bull case); at ₹84.62, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 3% below its 52-week high and 46% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 42% fair-value upside, at -76%, IDFCFIRSTB screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Residual Income ₹40.85 ₹40.04 ₹35.25 76
Gordon GGM ₹3.30 ₹7.21 ₹12.13 70
P/E Multiple ₹18.23 ₹24.30 ₹30.38 63
All 6 models by family
Dividend Discount
Gordon GGM ₹3.30 ₹7.21 ₹12.13 70
DDM Multi-Stage ₹3.30 ₹5.91 ₹7.51 61
Multiples
P/E Multiple ₹18.23 ₹24.30 ₹30.38 63
P/B Multiple ₹23.84 ₹31.78 ₹39.73 55
Asset-Based
NCAV (Graham) ₹27.51 ₹36.87 ₹55.03 50
Economic Profit
Residual Income ₹40.85 ₹40.04 ₹35.25 76

Widest divergence: Economic Profit (₹40.04) versus Dividend Discount (₹5.91). Highest evidence: Residual Income (76).

Key figures & financial health

Revenue (TTM) ₹30.3B
Revenue growth (YoY) -1.1%
Net margin 32.8%
Return on equity 3.7%
Free cash flow ₹60.4B FY2026
P/E ratio 42.1
More key figures
Operating margin 33.4%
EPS (TTM) ₹1.92
EPS growth (YoY) -23.2%
Net debt ₹239B FY2026

Figures from reported company fundamentals · as of Jul 12, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 31/100

Of which business quality 32 · Market factors (momentum, volatility) 68

Profitability 17
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 76
Earnings quality: real cash, not paper profit
Fin. Strength 11
Balance sheet, leverage, solvency risk
Investment 36
Disciplined investing over empire-building
Low Volatility 82
Calm price path (market factor)
Momentum 55
Price trend over the last 3–12 months (market factor)
52W Momentum 75
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

IDFC First Bank Limited provides various banking and financial services in India. It operates through the Treasury, Corporate and Wholesale Banking, Retail Banking, and Other Banking Business segments.

Full company description

IDFC First Bank Limited provides various banking and financial services in India. It operates through the Treasury, Corporate and Wholesale Banking, Retail Banking, and Other Banking Business segments. The company offers treasury and forex solutions, including correspondent banking, FX, cross-border swift, government bonds and strips, liberalized remittance scheme, and external commercial borrowing solutions, as well as treasury solutions comprising forwards, options, and swaps. It also provides retail lending solutions, such as home loans, vehicle loans, consumer loans, education loans, personal loans, used car loans, gold loans, rural finance, and tractor finance; SME lending solutions that consist of loan against property, business banking, working capital loans, commercial vehicle loans, micro enterprise loans, trade advance, and startup banking; CASA and fixed deposits, which include current accounts, savings accounts, fixed deposits, nostro/vostro accounts, overdrafts, corporate salary accounts, accounts for ONDC, and escrow account; and NRI Banking that comprises NRE accounts, NRO accounts, seafarer accounts, FCNR deposits, and NRE/NRO deposits. In addition, the company offers wealth management and distribution solutions, including distribution of life insurance, general insurance, credit shield, health insurance, mutual funds, and AIFs; credit cards; and FASTag, such as tag issuer, toll acquirer, toll, parking, and fuel solutions. Further, it provides trade finance solutions that consist of letters of credit and discounting, bank guarantee, buyer's credit/SBLC, parking credit in foreign currency and INR, remittances, and pre and post shipment finance; supply chain financing; and transaction banking and CMS solutions. The company was formerly known as IDFC Bank Limited and changed its name to IDFC First Bank Limited in January 2019. IDFC First Bank Limited was founded in 1997 and is headquartered in Mumbai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

IDFC First Bank Limited reported revenue of ₹484B in FY2026 versus ₹208B in FY2022, a compound +23.6%/yr. Reported net income was ₹16.1B in FY2026, compounding +86.8%/yr from FY2022.

Growth Quality 86/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
₹484B
Latest YoY
+11.0%
Avg. growth/yr (3Y)
+21.1%
Avg. growth/yr (5Y)
+20.5%
Avg. growth/yr (10Y)
+28.2%
Revenue +23.6%/yr
FY22 ₹208B
FY23 ₹273B
FY24 ₹363B
FY25 ₹436B
FY26 ₹484B
Net income +86.8%/yr
FY22 ₹1.3B
FY23 ₹24.8B
FY24 ₹29.4B
FY25 ₹14.9B
FY26 ₹16.1B

IDFCFIRSTB screens 76% overvalued. Compare with PT Bank Central Asia Tbk →

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Cite: Fair Value Calculator (2026). "IDFC First Bank Limited Fair Value". https://www.fairvalue-calculator.com/stock/IDFCFIRSTB

Peer Group

Banks - Regional · 1083 stocks

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.

Quality Score 32 · Bottom 25%
Fair Value upside −76% · Bottom 25%
Return on equity (TTM) 4% · Bottom 25%
Return on assets 0% · Bottom 25%
Net margin (TTM) 33% · Above median
Operating margin (TTM) 33% · Below median
Revenue growth -1% · Bottom 25%
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.82× · Higher than 75% of peers

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/E (TTM) 42.1× · Pricier than 75% of peers
P/B 1.47× · Pricier than 75% of peers
P/S (TTM) 23.00× · Pricier than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers
EV/EBITDA 35.9× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 39
FUTURE 0 · sector 44
PAST 15 · sector 41
HEALTH 59 · sector 85
DIVIDEND 0 · sector 49

VALUE 0: the price sits above our fair-value range.

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Jul 12, 2026).

Stock Price Fair Value vs Fair Value
PT Bank Central Asia Tbk BBCA 6,175 IDR 6,087 IDR -1%
KB Financial Group 105560 184,400 KRW 213,797 KRW +16%
PT Bank Rakyat Indonesia (Persero) Tbk BBRI 2,970 IDR 4,891 IDR +65%
PT Bank Mandiri (Persero) Tbk BMRI 4,310 IDR 7,841 IDR +82%
Banco Bradesco S.A BBD 5,120 ARS 10,240 ARS +100%
Shinhan Financial Group 055550 107,900 KRW 137,259 KRW +27%
Hana Financial Group 086790 136,800 KRW 193,969 KRW +42%
Lloyds Banking Group LYG 4,138 ARS 8,275 ARS +100%
Banco de Chile, CHILE 193.10 CLP 152.55 CLP -21%
Joint Stock Commercial Bank for Foreign Trade of Vietnam, VCB 59,400 VND 84,201 VND +42%

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Frequently asked questions

Is IDFC First Bank Limited (IDFCFIRSTB) overvalued or undervalued?
As of Jul 12, 2026, our model estimates a fair value of ₹20.66 versus a price of ₹84.62, about −76% (overvalued).
What is the fair value of IDFCFIRSTB?
Our model-based fair value for IDFC First Bank Limited is ₹20.66 (as of Jul 12, 2026), built from audited fundamentals. The current price is ₹84.62.
What is the quality score of IDFCFIRSTB?
IDFC First Bank Limited has a Quality Score of 31/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of IDFC First Bank Limited (IDFCFIRSTB)?
IDFC First Bank Limited reported trailing-twelve-month revenue of about ₹30.3B (latest available figure, as of Jul 12, 2026).
What is the net profit margin of IDFCFIRSTB?
The net profit margin of IDFC First Bank Limited is about 32.8%, meaning it keeps roughly 32.8% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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