AU Small Finance Bank Limited (AUBANK) AI Stock Analysis

• Market Cap: ₹656.79B
• Dividend Yield: 0.11%
• Average Volume (3M): 281.56K
• Price to Earnings (P/E): 30.2
• Beta (1Y): 0.74
• Revenue Growth: 30.73%
• EPS Growth: 14.02%
• Country: IN
• Employees: 29,738
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 7.50
• Shares Outstanding: 746,271,800
• 10 Day Avg. Volume: 136,750
• 30 Day Avg. Volume: 281,563
• PEG Ratio: 0.81
• Price to Book (P/B): 2.30
• Price to Sales (P/S): 2.13
• P/FCF Ratio: -1.85
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹912.67
• Price Target Upside: -4.48% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 69 Neutral
• Price Target: ₹998.00 ▲(4.45% Upside)

AU Small Finance Bank's stock score is primarily driven by strong financial performance in terms of revenue growth and cost management. However, liquidity issues and a high P/E ratio pose risks. Technical analysis shows bullish momentum, but overbought signals suggest caution. The absence of earnings call data and notable corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates the bank's ability to expand its market reach and effectively manage costs, supporting long-term business sustainability.

Strategic Partnerships

Strategic partnerships with fintech companies enhance service delivery and operational efficiency, positioning the bank for future growth and competitive advantage.

Balance Sheet Health

A healthy debt-to-equity ratio reflects a balanced approach to leveraging, ensuring financial stability and flexibility for future investments.

Negative Factors

Negative Cash Flows

Negative cash flows indicate potential liquidity issues, which could constrain the bank's ability to invest in growth opportunities and meet short-term obligations.

Negative EBIT Margin

A negative EBIT margin suggests operational inefficiencies or increased costs, potentially impacting profitability and long-term financial health.

Decreased Net Profit Margin

A decreasing net profit margin indicates rising expenses or reduced income efficiency, which may affect the bank's profitability and ability to generate shareholder value.

AU Small Finance Bank Limited Business Overview & Revenue Model

Company Description

AU Small Finance Bank Limited provides various banking and financial services in India. The company operates through Treasury, Retail Banking, Wholesale Banking, and Other Banking Operations segments. It provides saving, current, salary, senior citizen and NRI, fixed, recurring, and COVID shield deposit accounts, as well as debit and credit cards and locker services. The company also offers car, two-wheeler, commercial vehicle, personal, tractor, home, gold, construction equipment, business, agriculture, and working capital loans. In addition, it provides life, health, general, and motor insurance; mutual funds and national pension system; overdraft, cash credit, bank guarantee, and letters of credit; and internet and mobile banking, collection and receivables, and payment and other merchant payment services. Further, the company provides government banking services to central government, state governments, central and state public sector undertakings, boards, defence, urban local bodies, and other government departments. As of March 31, 2022, it operated 692 bank branches, 210 correspondents banking outlets, 17 business correspondents, and 514 ATMs. The company was formerly known as AU Financiers (India) Limited and changed its name to AU Small Finance Bank Limited in May 2017. The company was incorporated in 1996 and is headquartered in Jaipur, India.

How the Company Makes Money

AU Small Finance Bank generates revenue primarily through the interest income earned from loans and advances provided to its customers. The bank extends various types of loans, including personal loans, business loans, and vehicle loans, which typically carry higher interest rates than conventional savings accounts or fixed deposits. Additionally, AUBANK earns income from fees and commissions related to account maintenance, transaction services, and other banking operations. The bank also benefits from the interest differential, which is the difference between the interest earned on loans and the interest paid on deposits. Furthermore, AUBANK is actively expanding its customer base through strategic partnerships with fintech companies and technology platforms, enhancing its service delivery and operational efficiency, which further contributes to its earnings.

AU Small Finance Bank Limited Financial Statement Overview

Summary

Income Statement

Balance Sheet

Cash Flow

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	195.04B	185.94B	122.53B	92.41B	69.16B	63.72B
Gross Profit	109.67B	105.42B	68.56B	54.60B	42.28B	37.87B
EBITDA	28.98B	30.47B	22.25B	20.50B	15.94B	15.63B
Net Income	21.84B	21.06B	15.35B	14.28B	11.30B	11.71B
Balance Sheet
Total Assets	0.00	1.58T	1.09T	902.16B	690.78B	515.91B
Cash, Cash Equivalents and Short-Term Investments	0.00	94.66B	63.76B	10.36B	59.77B	48.18B
Total Debt	0.00	116.60B	130.84B	62.99B	127.95B	127.40B
Total Liabilities	-171.66B	1.41T	968.66B	792.39B	615.64B	453.16B
Stockholders Equity	171.66B	171.66B	125.60B	109.77B	75.14B	62.75B
Cash Flow
Free Cash Flow	0.00	-213.67B	19.11B	51.88B	65.66B	49.15B
Operating Cash Flow	0.00	-211.02B	22.57B	54.94B	68.49B	50.56B
Investing Cash Flow	0.00	-59.31B	-48.55B	-43.20B	-47.53B	-9.90B
Financing Cash Flow	0.00	289.72B	170.15B	23.23B	-9.48B	-26.55B

AU Small Finance Bank Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 955.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:AUBANK, the sentiment is Positive. The current price of 955.45 is above the 20-day moving average (MA) of 909.88, above the 50-day MA of 833.06, and above the 200-day MA of 717.19, indicating a bullish trend. The MACD of 31.38 indicates Negative momentum. The RSI at 73.60 is Negative, neither overbought nor oversold. The STOCH value of 84.68 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:AUBANK.

AU Small Finance Bank Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UCOBANK	75 Outperform	₹390.11B	15.08	―	1.25%	17.33%	45.79%
BANKINDIA	74 Outperform	₹646.71B	6.71	―	2.75%	14.34%	20.97%
INDIANB	74 Outperform	₹1.17T	10.42	―	1.86%	9.74%	12.56%
AUBANK	69 Neutral	₹656.79B	30.15	―	0.11%	30.73%	14.02%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FEDERALBNK	64 Neutral	₹578.77B	14.80	―	0.47%	10.62%	-5.21%

AU Small Finance Bank Limited Corporate Events

AU Small Finance Bank Announces Director Tenure Completion

AU Small Finance Bank Limited announced the completion of tenures for its Independent Directors, Prof. M S Sriram and Mr. Pushpinder Singh, who have ceased their roles as of October 20, 2025. The bank expressed appreciation for their contributions, highlighting their impact on the bank’s growth and governance, which underscores the importance of strategic leadership in maintaining the bank’s industry position.

AU Small Finance Bank Releases Q2 FY26 Earnings Call Transcript

AU Small Finance Bank Limited has released the transcript of its earnings conference call for the quarter and half-year ending September 30, 2025. This release is part of the bank’s compliance with regulatory requirements and provides insights into its financial performance, potentially impacting its market positioning and informing stakeholders about its operational strategies.

AU Small Finance Bank Updates Disclosure and Conduct Code

AU Small Finance Bank Limited has announced an amendment to its Code of Fair Disclosure and Conduct and Policy for the determination and sharing of information for legitimate purposes. This change, approved by the Board of Directors, aligns with the Securities and Exchange Board of India’s regulations on insider trading. The amendment is expected to enhance transparency and compliance, potentially strengthening the bank’s governance framework and reassuring stakeholders of its commitment to regulatory standards.

AU Small Finance Bank’s Credit Ratings Reaffirmed Amidst Growth and Challenges

AU Small Finance Bank Limited announced that CARE Ratings Limited has reaffirmed its credit ratings, maintaining a ‘CARE AA; Stable’ rating for its long-term debt instruments and a ‘CARE A1+’ rating for its short-term instruments. The reaffirmation reflects the bank’s robust capitalisation and profitability, although there is a noted increase in credit costs due to the integration of Fincare Small Finance Bank’s portfolio. The bank’s asset quality remains a concern with an increase in non-performing assets, particularly in microfinance and credit card segments. Despite these challenges, AU Small Finance Bank has received in-principle approval from the Reserve Bank of India to transition to a Universal Bank, indicating potential for future growth and expansion.

AU Small Finance Bank Expands Equity Through ESOP Allotment

AU Small Finance Bank Limited has announced the allotment of 160,556 equity shares following the exercise of Employee Stock Options (ESOPs) from various schemes dating from 2016 to 2023. This move will increase the bank’s paid-up equity share capital from Rs. 7,46,11,12,220 to Rs. 7,46,27,17,780, indicating a strategic step to incentivize employees and potentially enhance the bank’s operational capacity and market positioning.

AU Small Finance Bank Expands Equity Through ESOP Allotment

AU Small Finance Bank Limited has announced the allotment of 160,556 equity shares following the exercise of Employee Stock Options (ESOPs) from various years, leading to an increase in the bank’s paid-up equity share capital. This move reflects the bank’s commitment to employee incentives and could enhance its market position by aligning employee interests with company growth, potentially impacting shareholder value positively.

AU Small Finance Bank Schedules Investor Call to Discuss Financial Results

AU Small Finance Bank Limited has announced a scheduled conference call with analysts and investors on October 17, 2025, to discuss the financial results for the quarter and half-year ending September 30, 2025. This call, led by the bank’s senior management, is an opportunity to provide insights into the bank’s financial performance and strategic direction, potentially impacting investor confidence and market positioning.

AU Small Finance Bank Reports Strong Quarterly Growth

AU Small Finance Bank Limited has reported its performance for the quarter ended September 30, 2025, highlighting a significant year-over-year growth in total deposits and gross advances by 20.8% and 22.4%, respectively. The provisional financial data, released ahead of the official announcement, indicates a positive trajectory for the bank, suggesting robust operational performance and potential positive implications for stakeholders.