Punjab National Bank (PNB) fair value: what the stock is really worth
We calculate from audited financials what Punjab National Bank is really worth. The fair value tells you whether the price is too high or too low, the quality score (0 to 100) how solid the business behind it is. 26 models, 37 quality factors, updated daily, free.
Compare price with fair valuebelow fair value = cheap, above = expensive
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Financial Services · IN · Market cap ₹1.3T (≈ $14.1B) · ISIN INE160A01022
At a glance
PNPunjab National BankPNB · NSE
Price₹116.85
Fair Value₹195.04
Upside+66.9%
Quality47/100
Below-average quality, trading 40% below our fair value of ₹195.04.
As of Sep 11, 2026, the fair value of Punjab National Bank is ₹195.04 per share against a price of ₹116.85, so the fair value sits 67% above the price. A model estimate from reported figures, not an analyst target.
✓Healthy Growth (revenue 5y +9.8 %/yr)
✓Highly profitable · 31.2% net margin
✓Moderate debt · generates free cash flow
·2.57% dividend yield
✓Ranks above peers (9/14)
!Moderate moat 53/100
Evidence: HighRange ₹146.28 to ₹243.80
Fair value as of: Sep 11, 2026
From 6 valuation models · updated today
Share price +2.5% over the past month.
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69 individual criteria per stock, every one traceable See the method →
What matters now
The price is below even our cautious bear case (₹146.28). The market is more pessimistic than our downside scenario.
Solid quality (47/100) at a price below fair value, the discount is the argument here, not the business quality.
For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 11, 2026.
How to read this chart
60‑month range ₹25.65 – ₹131.65 · fair‑value band ₹146.28 – ₹243.80 · the ₹116.85 price screens below the ₹195.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 3 fiscal years are left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Sep 11, 2026.
Punjab National Bank (PNB) currently trades at ₹116.85, while our model-based Fair Value estimate is ₹195.04, implying the stock looks roughly 40.1% undervalued today. The Quality Score stands at 47/100 (below-average quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of ₹182.69 per share, and 3 of the 6 models we run sit above the ₹116.85 price. Bear case: the Dividend Discount group reads lowest at ₹49.77, and 3 of the 6 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Punjab National Bank generated revenue of ₹589B at a net margin of 31.2%. Revenue grew 15.2% year over year. It earns a return on equity of 13.0%. The balance sheet holds a net cash position of ₹566B. Fundamentals as of Sep 11, 2026
Scenario range: ₹146.28 (bear) to ₹243.80 (bull), the price of ₹116.85 sits below it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target. The share trades about 14% below its 52-week high and 19% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −13% fair-value upside, at 67%, PNB screens cheaper than that median.
Fair Value models
Based on fiscal year 2026 figures (about 5 months old). Earnings retained since then (₹5.81 per share) are deliberately not added.
Each model values the company its own way; the fair value above is the evidence-weighted blend. Evidence (0 to 100) shows how complete a model's inputs are. How we calculate →
ModelBear ⓘBear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull ⓘBull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target.Evidence
Highest evidence
Residual Income best evidence₹123.51₹152.40₹372.1969
DDM Multi-Stage₹27.83₹49.77₹63.3166
Gordon GGM₹27.83₹60.75₹102.2265
All 6 models by family
Dividend Discount
Gordon GGM₹27.83₹60.75₹102.2265
DDM Multi-Stage₹27.83₹49.77₹63.3166
Multiples
P/E Multiple₹156.03₹208.05₹260.0663
P/B Multiple₹137.02₹182.69₹228.3655
Asset-Based
NCAV (Graham)₹65.25₹87.43₹130.4954
Economic Profit
Residual Income best evidence₹123.51₹152.40₹372.1969
Widest divergence: Multiples (₹182.69) versus Dividend Discount (₹49.77). Highest evidence: Residual Income (69).
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Key figures & financial health
P/E ratio7.3
P/S ratio0.90P/E × margin
EPS (TTM)₹15.93price ÷ EPS = P/E 7.3
Dividend yield2.6%payout 18.8%
Net margin12.2%FY2026
Return on equity13.0%TTM
More key figures
Profitability
Return on assets (EBIT)0.9%avg 5y
Operating margin29.4%TTM
Growth
Revenue (TTM)₹589BTTM
Revenue growth (YoY)+15.2%3y avg +15.1%
EPS growth (YoY)+1.9%
Balance sheet & cash flow
Free cash flow₹236BFY2026
Net cash₹566BFY2026
Figures from reported company fundamentals · as of Sep 11, 2026. TTM = trailing twelve months.
Quality Score breakdown
Overall quality47/100
Of which business quality 47
· Market factors (momentum, volatility) 61
Profitability27
Margins and returns on capital today
Quality Growth40
Are margins and returns improving?
Cashflow72
Earnings quality: real cash, not paper profit
Fin. Strength27
Balance sheet, leverage, solvency risk
Investment60
Disciplined investing over empire-building
Low Volatility85
Calm price path (market factor)
Momentum50
Price trend over the last 3–12 months (market factor)
52W Momentum53
Distance to the 52-week high (market factor)
Net Issuance64
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.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Punjab National Bank provides various banking and financial products and services in India and internationally. The company operates through Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations segments.
Full company description
Punjab National Bank provides various banking and financial products and services in India and internationally. The company operates through Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations segments. The company offers personal banking products and services, including saving fund accounts, current accounts, fixed deposit, and capital gain account and gold monetization schemes; and housing, vehicle, education, personal, gold, and mortgage and other loans. It also provides various micro, small, and medium enterprises schemes and loans; banking products for government customers; agricultural schemes and loans; corporate banking products and services consist of loans against future lease rentals, working capital financing, and term loans; EXIM finance and cash management services, as well as gold card schemes for exporters; and international banking products and services. In addition, the company offers life and general insurance services; depository, mutual funds, merchant banking, and application supported by blocked amount services; and NRI banking and services. Further, the company provides mobile and internet banking, UPI, SMS banking, missed call, e-statement, ATM, passbook updating machine, and electronic cheque deposit machine services; and point of sale (PoS) is the payment acceptance solutions, NFC-enabled terminals facilitating quick payments, as well as debit and credit cards. Punjab National Bank was incorporated in 1894 and is headquartered in New Delhi, India.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Punjab National Bank reported revenue of ₹1.5T in FY2026 versus ₹880B in FY2022, a compound +14.4%/yr. Reported net income was ₹184B in FY2026, compounding +47.7%/yr from FY2022.
Growth Quality 90/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹1.5T
Latest YoY
+7.3%
Avg. revenue growth/yr (3Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+15.1%
Avg. revenue growth/yr (5Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.8%
Avg. revenue growth/yr (21Y) ⓘMeasures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+13.7%
Value creation/yr (5Y, in INR) ⓘEarnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
≈ +46.0%
Earnings growth per share plus dividend yield: the value created per share and year.
Earnings growth per share+43.4%
Dividend yield2.6%
Trend ⓘTwo data points, not a trend model: earnings growth per share over the last 5 fiscal years against the last 10. Labelled "steady" when both rates are within 3 percentage points of each other, otherwise picking up or flattening. Shown only when ten years of history exist.5Y 43.4% vs 10Y 13.1%, picking up
Operating margin (EBIT) ⓘOperating margin then vs now, from reported annual statements. A falling margin after a boom year is the classic peak-earnings signal: the growth rate then leans on an inflated base.4.6% (2021) → 18.9% (2026) · rising
Worst earnings drop1,934% (2018) (loss year, drop beyond 100%) · in INR
⚠ Final year 2026 sits 93% above trend (one-off), rate approximate
For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.
Cite: Fair Value Calculator (2026). "Punjab National Bank Fair Value". https://www.fairvalue-calculator.com/stock/PNB
Peer Group
Banks - Regional · 1073 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.
Valuation
Quality Score49 · Below median
Fair Value upside+67% · Top 25%
Profitability
Return on equity (TTM)13% · Above median
Return on assets1% · Below median
Net margin (TTM)31% · Above median
Operating margin (TTM)29% · Below median
Growth and dividend
Revenue growth15% · Above median
Dividend yield (TTM)2.6% · Below median
Balance sheet
Debt / equity0.71× · Above median
Valuation Multiples vs Banks - Regional median · lower = cheaper
P/E (TTM)7.3× · Cheapest 25%
P/B0.81× · Cheapest 25%
P/S (TTM)2.05× · Cheapest 25%
P/FCF0.1× · Cheapest 25%
EV/EBITDA2.2× · Cheapest 25%
What the price implies (reverse DCF)
The inverse question: what free-cash-flow growth must Punjab National Bank deliver for ten years so that today's price is fair in our DCF model? Same formula, same discount rate as the fair value.
Implied FCF growth, 10 years-8.4 % per year
Achieved revenue growth, 5 years+9.8 % p.a.
Sector median revenue growth+8.2 %
FCF yield on price17.59 %
Discount rate (WACC) in the models10.4 %
The price demands less growth than the company recently delivered: even a weaker business would justify the price. Ranking of the largest stocks →
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.
This stockSector peers
VALUE100· sector 33
FUTURE76· sector 44
PAST52· sector 41
HEALTH65· sector 85
DIVIDEND51· sector 51
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
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Sep 11, 2026).
Is Punjab National Bank (PNB) overvalued or undervalued?
As of Sep 11, 2026, our model estimates a fair value of ₹195.04 versus a price of ₹116.85, about +67% upside (undervalued).
What is the fair value of PNB?
Our model-based fair value for Punjab National Bank is ₹195.04 (as of Sep 11, 2026), built from audited fundamentals. The current price: ₹116.85.
What is the quality score of PNB?
Punjab National Bank has a Quality Score of 47/100. 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 price target for Punjab National Bank (PNB)?
Our model-based price target is the fair value of ₹195.04 (as of Sep 11, 2026) from 6 valuation models. Cautious scenario ₹146.28, optimistic scenario ₹243.80. It is a calculation from audited fundamentals, not an analyst target.
What is the Punjab National Bank stock forecast for 2026?
Our models put fair value at ₹195.04, about +67% upside versus a price of ₹116.85 (undervalued). Cautious scenario ₹146.28, optimistic scenario ₹243.80. The calculation is refreshed regularly with new filings.
What is the revenue of Punjab National Bank (PNB)?
Punjab National Bank reported trailing-twelve-month revenue of about ₹589B (latest available figure, as of Sep 11, 2026).
What is the net profit margin of PNB?
The net profit margin of Punjab National Bank is about 31.2%, meaning it keeps roughly 31.2% of revenue as net income. Based on the latest reported figures.
Does Punjab National Bank pay a dividend?
Punjab National Bank currently shows a dividend yield of about 2.57% relative to its recent price (as of Sep 11, 2026).
What growth is priced into Punjab National Bank (PNB)?
For today's price to be fair in a discounted-cash-flow model, Punjab National Bank would have to grow free cash flow by -8.4 % per year for ten years (discount rate 10.4 %, then 2 % perpetual growth). Over the last 5 years revenue grew +9.8 % per year. As of Sep 11, 2026.
What discount rate (WACC) does the fair value of PNB use?
Our models discount Punjab National Bank at 10.4 %: a base by market capitalisation (large), damped by beta 0.53, country premium for India. The same rate applies in all 26 models.
What is the intrinsic value of Punjab National Bank (PNB)?
Intrinsic value and fair value mean the same thing: what the business is worth on its numbers, independent of the share price. For Punjab National Bank it is ₹195.04 per share (as of Sep 11, 2026), against a price of ₹116.85. It is the blended result of 6 valuation models (cash flow, earnings, asset, dividend).
Is Punjab National Bank stock overvalued or undervalued in 2026?
As of Sep 11, 2026, PNB trades below its calculated fair value: price ₹116.85, fair value ₹195.04, a gap of about +67% (undervalued). The calculation is refreshed with each new quarterly report, so the verdict can change during the year.
Is fair value the same as the market price of PNB?
No. The price is what the market pays today (₹116.85); the fair value is what the company's own numbers justify (₹195.04). For Punjab National Bank the two are ₹78.19 per share apart. That gap is exactly why we show both numbers side by side.
How much is Punjab National Bank worth?
The market values Punjab National Bank at about ₹1.3T (market capitalisation, as of Sep 11, 2026). Per share that is ₹116.85; our models calculate a fair value of ₹195.04 per share.
What do the bullish and bearish scenarios say about PNB?
Our models span a range for Punjab National Bank: cautious scenario ₹146.28, base ₹195.04, optimistic ₹243.80 per share (as of Sep 11, 2026, price ₹116.85). The range comes from different growth and margin assumptions, not from analyst opinions.
What is the P/E ratio of PNB?
Punjab National Bank trades at a price-to-earnings ratio of 7.3 (as of Sep 11, 2026). A P/E on its own says little: it compares the price with ONE year of profit, while our fair value of ₹195.04 is built from several models across several years. Other multiples: P/B 0.8, P/S 2.1, EV/EBITDA 2.2.
How solid is the balance sheet of Punjab National Bank (PNB)?
Balance-sheet figures for Punjab National Bank (as of Sep 11, 2026): return on equity 13.0%, debt of 0.71 per unit of equity. They feed the Quality Score of 47/100, which measures business quality independently of the share price.
How far is PNB from its 52-week high?
Punjab National Bank trades at ₹116.85, about 14% below its 52-week high of ₹135.15 and 19% above the low of ₹98.50 (as of Sep 11, 2026). Distance from the high says nothing about value: that is what the fair value of ₹195.04 is for.
Which stocks are comparable to Punjab National Bank?
From the same area (Financial Services) we also value DBS Group, China Merchants Bank Co, Intesa Sanpaolo S.p.A, HDFC Bank Limited, among others. Each of them has its own fair-value calculation on this site using the same models, so the comparison is like for like.
Is Punjab National Bank stock attractive at the current price?
The data as of Sep 11, 2026: price ₹116.85, calculated fair value ₹195.04 (+67%), Quality Score 47/100, from 6 models. Whether that fits your horizon and risk tolerance is your call. We provide the calculation, not investment advice.
How is the fair value of PNB calculated?
We run Punjab National Bank through 6 models from four families: discounted cash flow, earnings models, asset and balance-sheet models, and dividend models. Every model gets the same audited fundamentals; the result is the weighted average of ₹195.04, with the spread shown as a cautious and an optimistic scenario.
Is it still worth investing in stocks now?
The global stock market currently sits 32.6 % above its aggregate fair value. Punjab National Bank currently trades 67 % below its own fair value, and the market average says nothing about that. An expensive market is no reason to stay out and no reason to buy everything at once: keep a broad savings plan running, buy single stocks only with money you can do without, and hold part of your money liquid while the market is high. The full picture including sectors is on <a href="/is-it-worth-investing-now/">is it worth investing now</a>.
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