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Union Bank of India (UNIONBANK) Fair Value & Analysis

Financial Services · IN · Market cap ₹1.3T

UB Union Bank of India UNIONBANK · NSE
Price₹182.50
Fair Value₹281.27
Upside+54.1%
Quality43/100
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Expensive Growth
Highly profitable · 39.7% net margin
Low debt · generates free cash flow
Ranks above peers (11/13)
Moderate moat 60/100
Evidence: High Range ₹210.94 – ₹351.58 Share as image

Fair value as of: Jul 18, 2026

From 26 valuation models · updated 21 days ago

Share price +13.3% over the past month.

Below-average quality, screening 54% undervalued on our models.

What matters now

  • The large discount to fair value meets weak quality (43/100). That raises the risk this is a value trap rather than a bargain.
  • The price is below even our cautious bear case (₹210.94). The market is more pessimistic than our downside scenario.
  • 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)

₹196.49 ₹27.22 Fair Value ₹281.27 Apr 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 18, 2026.

How to read this chart

60‑month range ₹27.22 – ₹196.49 · fair‑value band ₹210.94 – ₹351.58 · the ₹182.50 price screens below the ₹281.27 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 18, 2026.

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Analysis

Union Bank of India (UNIONBANK) currently trades at ₹182.50, while our model-based Fair Value estimate is ₹281.27, implying the stock looks roughly 54.1% undervalued today. We read business quality at 43/100 (below-average quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Union Bank of India generated revenue of ₹545B at a net margin of 35.7%. Revenue grew 15.8% year over year. It earns a return on equity of 15.7%. The balance sheet holds a net cash position of ₹182B. Fundamentals as of Jul 18, 2026

Our scenario range runs from ₹210.94 (bear case) to ₹351.58 (bull case); at ₹182.50, the current price sits below 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 11% 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 54%, UNIONBANK screens cheaper 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
Growth DCF ₹162.37 ₹224.82 ₹340.20 80
Residual Income ₹176.88 ₹237.25 ₹737.78 76
Rev-Margin DCF ₹314.86 ₹533.41 ₹822.86 74
All 26 models by family
DCF Models
FCF DCF ₹163.15 ₹231.56 ₹360.20 38
Owner Earnings ₹411.07 ₹710.68 ₹1,274 31
5Y Revenue Exit ₹314.86 ₹545.15 ₹871.81 39
5Y EBITDA Exit ₹330.11 ₹577.35 ₹899.40 41
5Y P/E Exit ₹361.46 ₹643.57 ₹978.31 38
10Y Revenue Exit ₹255.97 ₹463.73 ₹808.79 36
10Y EBITDA Exit ₹277.11 ₹488.21 ₹832.98 37
10Y P/E Exit ₹298.58 ₹538.55 ₹902.19 35
Earnings-Based
Graham-Dodd ₹173.08 ₹870.08 ₹1,201 54
Lynch FV ₹235.72 ₹336.75 ₹437.77 50
PEG = 1.0 ₹235.72 ₹336.75 ₹437.77 46
EPV ₹344.34 ₹389.26 ₹429.18 59
Dividend Discount
Gordon GGM ₹45.69 ₹99.75 ₹167.83 70
DDM Multi-Stage ₹45.69 ₹81.71 ₹103.96 61
Multiples
P/E Multiple ₹381.80 ₹509.07 ₹636.34 63
P/S Multiple ₹310.52 ₹414.03 ₹517.54 58
P/B Multiple ₹324.53 ₹432.71 ₹540.89 55
EV/EBIT ₹530.76 ₹677.75 ₹824.74 53
EV/EBITDA ₹423.65 ₹534.93 ₹646.22 54
EV/Revenue ₹379.63 ₹503.84 ₹628.05 43
Asset-Based
NCAV (Graham) ₹87.41 ₹117.13 ₹174.82 50
Growth DCF
Growth DCF ₹162.37 ₹224.82 ₹340.20 80
Rev-Margin DCF ₹314.86 ₹533.41 ₹822.86 74
Economic Profit
Residual Income ₹176.88 ₹237.25 ₹737.78 76
ROIC Compounder ₹381.79 ₹484.44 ₹616.51 72
Growth Earnings
Growth-Adj P/E ₹349.98 ₹499.97 ₹649.96 68

Widest divergence: DCF Models (₹538.55) versus Dividend Discount (₹81.71). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) ₹545B
Revenue growth (YoY) +15.8%
Net margin 35.7%
Return on equity 15.7%
Free cash flow ₹39.8B FY2026
P/E ratio 6.6
More key figures
Operating margin -888%
EPS (TTM) ₹25.45
Dividend yield 3.0%
EPS growth (YoY) +9.7%
Net cash ₹182B FY2026

Figures from reported company fundamentals · as of Jul 18, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 43/100

Of which business quality 28 · Market factors (momentum, volatility) 68

Profitability 31
Margins and returns on capital today
Quality Growth 38
Are margins and returns improving?
Cashflow 23
Earnings quality: real cash, not paper profit
Fin. Strength 20
Balance sheet, leverage, solvency risk
Investment 55
Disciplined investing over empire-building
Low Volatility 66
Calm price path (market factor)
Momentum 61
Price trend over the last 3–12 months (market factor)
52W Momentum 81
Distance to the 52-week high (market factor)
Net Issuance 8
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

Union Bank of India provides banking products and services in India. It operates in four segments: Treasury Operations, Retail Banking Operations, Corporate and Wholesale Banking, and Other Banking Operations. The company provides its products and services to individuals, commercial enterprises, large corporates, public bodies, and institutional customers.

Full company description

Union Bank of India provides banking products and services in India. It operates in four segments: Treasury Operations, Retail Banking Operations, Corporate and Wholesale Banking, and Other Banking Operations. The company provides its products and services to individuals, commercial enterprises, large corporates, public bodies, and institutional customers. Union Bank of India was incorporated in 1919 and is headquartered in Mumbai, India.

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

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Union Bank of India reported revenue of ₹1.3T in FY2026 versus ₹818B in FY2022, a compound +11.5%/yr. Reported net income was ₹194B in FY2026, compounding +38.6%/yr from FY2022.

Growth Quality 62/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2026)
₹1.3T
Latest YoY
−2.8%
Avg. growth/yr (3Y)
+9.9%
Avg. growth/yr (5Y)
+8.7%
Avg. growth/yr (21Y)
+15.9%
Revenue +11.5%/yr
FY22 ₹818B
FY23 ₹952B
FY24 ₹1.2T
FY25 ₹1.3T
FY26 ₹1.3T
Net income +38.6%/yr
FY22 ₹52.7B
FY23 ₹85.1B
FY24 ₹138B
FY25 ₹180B
FY26 ₹194B

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Cite: Fair Value Calculator (2026). "Union Bank of India Fair Value". https://www.fairvalue-calculator.com/stock/UNIONBANK

Peer Group

Banks - Regional · 1082 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 43 · Bottom 25%
Fair Value upside +54% · Top 25%
Return on equity (TTM) 16% · Top 25%
Return on assets 1% · Above median
Net margin (TTM) 40% · Top 25%
Revenue growth 16% · Above median
Dividend yield (TTM) 0.0% · Bottom 25%
Debt / equity 0.21× · Lower than median

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/E (TTM) 6.2× · Cheaper than 75% of peers
P/B 0.96× · Cheaper than median
P/S (TTM) 2.63× · Cheaper than median
P/FCF 0.3× · Cheaper than 75% of peers
EV/EBITDA 2.4× · Cheaper 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 100 · sector 39
FUTURE 79 · sector 44
PAST 63 · sector 41
HEALTH 90 · sector 85
DIVIDEND 0 · sector 49

Insider activity: 40/100

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 18, 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 Union Bank of India (UNIONBANK) overvalued or undervalued?
As of Jul 18, 2026, our model estimates a fair value of ₹281.27 versus a price of ₹182.50, about +54% (undervalued).
What is the fair value of UNIONBANK?
Our model-based fair value for Union Bank of India is ₹281.27 (as of Jul 18, 2026), built from audited fundamentals. The current price is ₹182.50.
What is the quality score of UNIONBANK?
Union Bank of India has a Quality Score of 43/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Union Bank of India (UNIONBANK)?
Union Bank of India reported trailing-twelve-month revenue of about ₹545B (latest available figure, as of Jul 18, 2026).
What is the net profit margin of UNIONBANK?
The net profit margin of Union Bank of India is about 35.7%, meaning it keeps roughly 35.7% of revenue as net income. Based on the latest reported figures.
Does Union Bank of India pay a dividend?
Union Bank of India currently shows a dividend yield of about 3.00% relative to its recent price (as of Jul 18, 2026).

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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