IDFC First Bank Ltd. (IDFCFIRSTB) AI Stock Analysis

• Market Cap: ₹530.14B
• Dividend Yield: 0.34%
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): 40.2
• Beta (1Y): 0.93
• Revenue Growth: 17.19%
• EPS Growth: -57.11%
• Country: IN
• Employees: 41,141
• Sector: Financial
• Sector Strength: 77
• Industry: Banks - Regional
• EPS (TTM): 0.63
• Shares Outstanding: 7,336,618,700
• 10 Day Avg. Volume: 1,048,964
• 30 Day Avg. Volume: 1,068,209
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• 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: ₹75.33
• Price Target Upside: 3.77% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 6

• Rating: 51 Neutral
• Price Target: ₹69.00 ▼(-4.95% Downside)

IDFC First Bank's overall stock score is primarily influenced by its financial performance and technical analysis. The bank shows potential for growth but faces challenges in profitability and cash flow management. The technical indicators suggest a lack of strong momentum, and the high P/E ratio indicates potential overvaluation. Improvements in financial management and clearer market signals are needed to enhance the stock's attractiveness.

IDFC First Bank Ltd. Business Overview & Revenue Model

Company Description

IDFC First Bank Ltd. (IDFCFIRSTB) is a prominent private sector bank in India, established through the merger of IDFC Bank and Capital First in December 2018. The bank offers a comprehensive range of banking products and financial services to retail, corporate, and small and medium enterprise (SME) customers. Its core offerings include savings and current accounts, fixed deposits, home loans, personal loans, credit cards, and wealth management services. Additionally, IDFC First Bank provides digital banking solutions and aims to enhance financial inclusion through its innovative and customer-centric approach.

How the Company Makes Money

IDFC First Bank generates revenue primarily through interest income from its diverse portfolio of loans and advances, which includes retail loans such as home loans, personal loans, and vehicle loans, as well as corporate and SME loans. The bank also earns income from fees and commissions associated with its banking services, including transaction fees, credit card fees, and wealth management services. Additionally, IDFC First Bank benefits from investments in government securities and other financial instruments, which contribute to its interest income. The bank has established significant partnerships with fintech companies and leverages technology to enhance its digital banking offerings, thus expanding its customer base and facilitating cross-selling opportunities.

IDFC First Bank Ltd. Financial Statement Overview

Summary

IDFC First Bank shows growth in revenue and equity, but faces challenges with profitability and cash flow stability. The balance sheet is strong, yet improvements in operational efficiency are needed.

Income Statement

IDFC First Bank has shown a mixed performance in its income statement. The bank's revenue has increased over the years, indicating growth, but the recent drop in total revenue in 2025 suggests a potential slowdown. The gross profit margin has remained stable due to the nature of the banking industry where cost of goods sold is minimal. However, the net profit margin fluctuated due to varying net income, reflecting challenges in controlling expenses relative to revenue. The decrease in EBITDA margin from 2024 to 2025 highlights efficiency issues. Overall, while there is growth, profit margins indicate potential profitability challenges.

Balance Sheet

The balance sheet of IDFC First Bank indicates a strong equity base with growing stockholders' equity over time. The debt-to-equity ratio has remained manageable, suggesting a balanced approach to leveraging debt. However, the increasing total liabilities relative to assets could pose a risk if not managed effectively. The equity ratio suggests a solid asset base funded by equity, indicating stability. Overall, the balance sheet reflects a reasonable level of financial stability with potential for further strengthening.

Cash Flow

The cash flow statement reveals significant fluctuations in operating cash flow, particularly the negative operating cash flow in 2025, which could indicate operational inefficiencies or increased cash outflows. Free cash flow has also been volatile, showing a sharp decline recently, suggesting potential issues with cash management or capital expenditure. The operating cash flow to net income ratio has deteriorated, pointing to challenges in translating profits into cash. The bank needs to improve its cash flow stability to enhance financial health.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	330.82B	207.56B	363.50B	272.83B	203.07B	182.06B
Gross Profit	248.20B	207.56B	224.80B	171.93B	97.29B	104.41B
EBITDA	18.64B	27.00B	44.88B	37.66B	5.48B	8.61B
Net Income	14.90B	14.90B	29.42B	24.85B	1.32B	4.83B
Balance Sheet
Total Assets	3.44T	3.44T	2.96T	2.40T	1.90T	1.63T
Cash, Cash Equivalents and Short-Term Investments	150.99B	150.99B	124.81B	137.79B	157.02B	82.89B
Total Debt	389.84B	389.84B	439.36B	624.91B	570.67B	485.70B
Total Liabilities	3.06T	3.06T	2.64T	2.14T	1.69T	1.45T
Stockholders Equity	381.56B	381.56B	322.74B	258.48B	210.82B	179.00B
Cash Flow
Free Cash Flow	0.00	-378.94B	43.15B	23.75B	21.97B	134.56B
Operating Cash Flow	0.00	-369.75B	56.88B	35.63B	26.79B	140.42B
Investing Cash Flow	0.00	-34.78B	-98.87B	-119.96B	-29.60B	-28.33B
Financing Cash Flow	0.00	427.67B	-29.54B	65.09B	272.14B	-95.98B

IDFC First Bank Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 72.59
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:IDFCFIRSTB, the sentiment is Positive. The current price of 72.59 is above the 20-day moving average (MA) of 69.84, above the 50-day MA of 71.81, and above the 200-day MA of 65.40, indicating a bullish trend. The MACD of 0.02 indicates Negative momentum. The RSI at 60.87 is Neutral, neither overbought nor oversold. The STOCH value of 89.07 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:IDFCFIRSTB.

IDFC First Bank Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.06B	11.97	10.24%	3.74%	9.75%	1.30%
BANKINDIA	67 Neutral	₹510.58B	5.45		3.60%	18.55%	31.54%
YESBANK	60 Neutral	₹636.17B	23.21		―	9.29%	77.92%
FEDERALBNK	57 Neutral	₹461.69B	11.71		0.63%	15.26%	-1.94%
IDFCFIRSTB	51 Neutral	₹530.14B	40.18		0.34%	17.19%	-57.11%
AUBANK	―	₹518.38B	23.69		0.14%	―	―
INDUSINDBK	51 Neutral	₹587.93B	59.32		2.20%	-2.45%	-88.84%

IDFC First Bank Ltd. Corporate Events

IDFC First Bank Announces Investor Meeting Schedule

IDFC First Bank Limited has announced its schedule for upcoming meetings with analysts and institutional investors, which are set to take place at various locations including Singapore, Mumbai, Hongkong, and virtually. These meetings are part of the bank’s efforts to engage with investors and provide updates on its financial performance and strategic initiatives, potentially impacting its market perception and investor relations.

IDFC First Bank Grants 70,000 Stock Options to Employees

IDFC First Bank Ltd. has announced the grant of 70,000 stock options to its eligible employees under the ‘IDFC FIRST Bank Limited – Employee Stock Option Scheme’. This move, approved by the Nomination & Remuneration Committee, is in compliance with the SEBI regulations and aims to incentivize employees by vesting the options equally over four years with a three-year exercise period. This initiative is likely to enhance employee engagement and align their interests with the company’s growth objectives.

IDFC First Bank Allots Shares Under Employee Stock Option Scheme

IDFC First Bank Limited has announced the allotment of 411,445 equity shares to eligible employees under its Employee Stock Option Scheme. This move increases the bank’s issued and paid-up equity share capital, reflecting its commitment to employee engagement and retention, and potentially enhancing its market position by aligning employee interests with shareholder value.

IDFC First Bank Releases Q1 FY26 Earnings Call Recording

IDFC First Bank Ltd. announced the availability of the audio recording of its earnings call for the first quarter of the fiscal year 2026. The call, held with analysts and investors, discussed the bank’s unaudited financial results for the quarter ending June 30, 2025. This move reflects the bank’s commitment to transparency and keeping stakeholders informed about its financial performance.