Canara Bank (CANBK) AI Stock Analysis

• Market Cap: ₹1.27T
• Dividend Yield: 2.64%
• Average Volume (3M): 1.71M
• Price to Earnings (P/E): 6.6
• Beta (1Y): 1.50
• Revenue Growth: 8.89%
• EPS Growth: 19.79%
• Country: IN
• Employees: 82,638
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 5.30
• Shares Outstanding: 9,070,651,000
• 10 Day Avg. Volume: 1,071,263
• 30 Day Avg. Volume: 1,713,254
• PEG Ratio: 0.31
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 0.53
• P/FCF Ratio: -0.98
• 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: ₹150.00
• Price Target Upside: -1.09% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: ₹157.00 ▲(3.53% Upside)

Canara Bank's strong financial performance and attractive valuation are the primary drivers of its overall score. The technical analysis indicates strong momentum, though caution is advised due to overbought signals. The absence of earnings call and corporate events data limits additional insights.

Positive Factors

Revenue Growth

Consistent revenue growth indicates expanding market presence and effective product offerings, supporting long-term business sustainability.

Margin Improvement

Improved profit margins suggest effective cost management and operational efficiency, contributing to sustained profitability.

Cash Flow Strength

Strong cash flow generation enhances financial flexibility, enabling investment in growth opportunities and returning value to shareholders.

Negative Factors

High Beta

A high beta indicates greater volatility compared to the market, which could lead to unstable stock performance in uncertain economic conditions.

Overbought Signals

Overbought technical signals could indicate potential short-term pullbacks, affecting investor sentiment and stock stability.

Lack of Earnings Call Data

The absence of earnings call insights limits transparency and investor understanding of management's strategic direction.

Canara Bank Business Overview & Revenue Model

Company Description

Canara Bank (CANBK) is one of India's leading public sector banks, established in 1906 and headquartered in Bangalore. It operates in the banking and financial services sector, offering a wide range of products and services including retail banking, corporate banking, treasury operations, and various financial services. The bank serves millions of customers through an extensive network of branches and ATMs across India, catering to both individual and corporate clients with services like savings accounts, loans, credit cards, and investment products.

How the Company Makes Money

Canara Bank primarily generates revenue through interest income, which constitutes the bulk of its earnings. The bank earns interest from loans it disburses to individuals and businesses, including personal loans, home loans, and corporate loans. Additionally, Canara Bank earns non-interest income through various fees and commissions associated with its services, such as account maintenance fees, transaction fees, and service charges for financial products. Investment income from its holdings in government securities and other financial instruments also contributes to its revenue. Furthermore, the bank engages in wealth management and insurance services, which add to its overall earnings. Strategic partnerships with other financial institutions and technology firms enhance its offerings and operational efficiency, thereby boosting its profitability.

Canara Bank Financial Statement Overview

Summary

Canara Bank demonstrates strong financial performance with robust revenue growth, improved profit margins, and effective cost management. The balance sheet shows a healthy equity position and balanced leverage strategy, while cash flows indicate substantial operational cash generation and financial flexibility.

Income Statement

Canara Bank has demonstrated strong revenue growth over the years, with a notable increase from 2020 to 2025. The gross profit margin is robust, indicating effective cost management. The net profit margin has improved significantly, reflecting enhanced profitability. The EBIT and EBITDA margins have shown a healthy upward trend, indicating operational efficiency.

Balance Sheet

The balance sheet reveals a strong equity position with a healthy debt-to-equity ratio, suggesting a balanced leverage strategy. The return on equity has improved over the years, highlighting effective utilization of shareholder funds. The equity ratio indicates stability, with a significant portion of assets funded by equity, reducing financial risk.

Cash Flow

Cash flow analysis shows a substantial increase in operating cash flow, supporting expansion and shareholder returns. Free cash flow has grown significantly, enhancing financial flexibility. The operating cash flow to net income ratio is favorable, indicating effective cash generation relative to profits.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	1.58T	1.54T	1.38T	1.08T	928.10B	932.59B
Gross Profit	730.87B	710.70B	661.20B	553.77B	497.74B	480.76B
EBITDA	242.67B	242.51B	215.20B	159.84B	103.49B	49.74B
Net Income	166.67B	175.40B	152.79B	112.55B	61.25B	28.91B
Balance Sheet
Total Assets	17.78T	17.31T	15.35T	13.81T	12.59T	11.80T
Cash, Cash Equivalents and Short-Term Investments	2.06T	2.06T	1.51T	1.42T	1.82T	1.79T
Total Debt	1.20T	832.38B	600.61B	594.13B	478.01B	496.72B
Total Liabilities	16.68T	16.24T	14.42T	13.02T	11.88T	11.16T
Stockholders Equity	1.09T	1.05T	921.33B	780.54B	699.61B	624.10B
Cash Flow
Free Cash Flow	0.00	-835.84B	297.93B	-405.91B	979.70M	581.95B
Operating Cash Flow	0.00	606.69B	310.46B	-399.78B	9.19B	591.18B
Investing Cash Flow	0.00	-24.61B	-17.48B	-12.38B	-12.56B	-10.29B
Financing Cash Flow	0.00	-35.06B	1.29T	4.45B	40.35B	2.90B

Canara Bank Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 151.65
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CANBK, the sentiment is Positive. The current price of 151.65 is above the 20-day moving average (MA) of 145.07, above the 50-day MA of 132.87, and above the 200-day MA of 108.48, indicating a bullish trend. The MACD of 5.48 indicates Positive momentum. The RSI at 75.56 is Negative, neither overbought nor oversold. The STOCH value of 83.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:CANBK.

Canara Bank Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UNIONBANK	81 Outperform	₹1.16T	6.25	―	3.10%	3.86%	19.14%
BANKBARODA	81 Outperform	₹1.49T	7.75	―	2.88%	4.40%	-3.84%
IDBI	76 Outperform	₹1.08T	11.62	―	2.09%	11.31%	37.17%
CANBK	75 Outperform	₹1.27T	6.61	―	2.64%	8.89%	19.79%
PNB	75 Outperform	₹1.42T	8.32	―	2.33%	12.10%	12.93%
INDIANB	74 Outperform	₹1.17T	10.42	―	1.86%	9.74%	12.56%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Canara Bank Corporate Events

Canara Bank Announces Q2 Financial Results Schedule

Canara Bank has announced a schedule for a media meet and earnings conference call to discuss its unaudited financial results for the second quarter and half-year ending September 30, 2025. The bank will hold a media interaction on October 30 and 31, 2025, followed by an earnings call with analysts and investors on October 30. This announcement is significant as it provides stakeholders with insights into the bank’s financial performance and strategic direction, potentially impacting its market positioning and investor relations.

Canara Bank Reduces Stake in Canara HSBC Life Insurance

Canara Bank has announced the divestment of its stake in Canara HSBC Life Insurance Company Limited, reducing its holding from 51% to 36.50% through an Initial Public Offering. This strategic move led to the listing of Canara HSBC Life Insurance on the National Stock Exchange of India Limited and BSE Limited, marking a significant development in the company’s operations and potentially impacting its market positioning and stakeholder interests.

Canara Bank’s Subsidiary Files for Public Offering

Canara Bank has announced that its subsidiary, Canara HSBC Life Insurance Company Limited, has filed a Red Herring Prospectus with the Registrar of Companies. This move is a significant step towards a potential public offering, which could enhance the subsidiary’s market presence and provide additional capital for expansion, potentially impacting Canara Bank’s overall market positioning and offering new opportunities for stakeholders.

Canara Bank’s Subsidiary Files Red Herring Prospectus

Canara Bank announced that its subsidiary, Canara Robeco Asset Management Company Limited, has filed a Red Herring Prospectus with the Registrar of Companies. This move indicates a strategic step towards potential public offering, which could enhance the subsidiary’s market positioning and provide growth opportunities.