IndusInd Bank Ltd. (INDUSINDBK) AI Stock Analysis

• Market Cap: ₹687.22B
• Dividend Yield: 1.95%
• Average Volume (3M): 109.57K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.30
• Revenue Growth: -7.44%
• EPS Growth: -109.30%
• Country: IN
• Employees: 45,637
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): -5.71
• Shares Outstanding: 779,076,000
• 10 Day Avg. Volume: 111,459
• 30 Day Avg. Volume: 109,569
• PEG Ratio: -0.29
• Price to Book (P/B): 0.82
• Price to Sales (P/S): 0.94
• P/FCF Ratio: -6.09
• 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: ₹780.00
• Price Target Upside: -11.57% Downside
• Rating Consensus: Moderate Sell
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹916.00 ▲(3.84% Upside)

IndusInd Bank Ltd. has a solid financial performance with strong revenue growth and improved profitability. However, operational inefficiencies and cash flow challenges are notable risks. The technical analysis indicates strong bullish momentum, but overbought conditions could lead to a pullback. Valuation concerns, particularly the negative P/E ratio, weigh heavily on the overall score.

Positive Factors

Revenue Growth

Steady revenue growth over five years indicates strong market demand and effective business strategies, supporting long-term expansion.

Profitability Improvement

Improved net profit margins highlight enhanced operational efficiency and cost control, contributing to sustainable profitability.

Asset Base

A strong asset base provides financial stability and the capacity to support future growth and investment opportunities.

Negative Factors

Operational Inefficiencies

Operational inefficiencies can hinder profitability and growth, requiring strategic improvements to enhance long-term performance.

Cash Flow Challenges

Negative free cash flow suggests liquidity issues, which could limit the bank's ability to invest in growth and manage financial obligations.

High Leverage

High leverage can increase financial risk, necessitating careful management to ensure long-term financial health and stability.

IndusInd Bank Ltd. Business Overview & Revenue Model

Company Description

IndusInd Bank Limited provides various banking products and services to individuals, NRIs, business owners, corporates, and government and financial institutions. It operates through four segments: Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Operations. The company offers current, savings, defense, and corporate salary; and fixed and FCNR, sweep in/out deposits, senior citizen schemes, young saver deposits, and recurring and RFC deposits, as well as Rupee multiplier products. It also provides home, personal, car, two wheeler, gold, agricultural, and medical equipment loans, as well as loans against property and securities; micro-finance loans; MSME loans; business loans; loans to merchants and retailers; personal and professional loans; and loan on credit cards. In addition, the company offers transaction banking services, including letters of credit/guarantees, structured trade and export finance, and import finance solutions, as well as cash management and remittance services; investment products, such as demat account, mutual fund, gold bond, national pension system, and equity trading; project finance, supply chain financing; investment advisory, strategic M&A, and other advisory services; and health, general, life, and card protection insurance. Further, it provides debit, credit, forex, and commercial cards; individual outward remittances, foreign currency bank notes and demand drafts, and travelers cheques; financial inclusion products; trade and foreign exchange accounts; real estate developer financing and bullion services; correspondent banking services; and forex and derivative desk, information and advisory, and remittances through forex channel services. As of March 31, 2022, the company had 2,265 branches and 2,767 ATMs in India; and 5,876 distribution points, as well as representative offices in London, Dubai, and Abu Dhabi. IndusInd Bank Limited was incorporated in 1994 and is based in Mumbai, India. IndusInd Bank Limited was incorporated in 1994 and is based in Mumbai, India.

How the Company Makes Money

IndusInd Bank generates revenue primarily through interest income, which comes from loans issued to customers and advances against securities. The bank lends to various sectors including retail, commercial, and MSMEs, earning interest on these loans. Additionally, the bank earns fee-based income from services such as account maintenance, transaction fees, and commissions on financial products. Asset management and investment advisory services also contribute to its revenue. The bank has established partnerships with various financial institutions and technology companies to enhance its service offerings and customer reach, which further bolsters its earnings. The growth in digital banking services has also opened new avenues for revenue generation through digital transactions and online services.

IndusInd Bank Ltd. Financial Statement Overview

Summary

IndusInd Bank Ltd. demonstrates strong revenue growth and improved profitability, despite challenges in operational efficiency and cash flow management. The balance sheet reflects a sound asset base but with high leverage typical of the banking industry. Continued focus on improving cash flows and operational efficiency will be crucial for sustaining growth and stability.

Income Statement

IndusInd Bank Ltd. has shown a steady revenue growth, with the total revenue increasing from 185 billion in 2020 to 563 billion in 2025. The gross profit margin has maintained a strong position, although it has declined from its peak in 2020. The net profit margin has improved over the years, indicating better cost management and profitability. However, EBIT and EBITDA margins have shown fluctuations, suggesting some operational challenges.

Balance Sheet

The bank has a robust asset base with significant growth in total assets, reaching over 5 trillion. The debt-to-equity ratio shows a relatively high leverage, which is common in the banking sector but warrants careful management. The equity ratio has remained stable, indicating a solid capital structure. Return on equity has improved, reflecting enhanced shareholder returns.

Cash Flow

Cash flows have been volatile, with a negative operating cash flow in recent years. The free cash flow has been consistently negative, indicating potential liquidity challenges. The operating cash flow to net income ratio is concerning, as it suggests operational inefficiencies. Despite these issues, the bank has managed its financing activities effectively to support its capital needs.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	555.66B	561.33B	545.98B	442.43B	378.65B	348.90B
Gross Profit	236.24B	264.97B	294.65B	254.68B	220.43B	194.19B
EBITDA	87.70B	40.58B	124.42B	103.39B	67.85B	42.57B
Net Income	10.09B	25.76B	89.77B	74.43B	48.05B	29.30B
Balance Sheet
Total Assets	0.00	5.54T	5.15T	4.58T	4.02T	3.63T
Cash, Cash Equivalents and Short-Term Investments	0.00	593.75B	369.07B	567.77B	685.85B	566.10B
Total Debt	0.00	537.04B	687.07B	1.56T	1.46T	1.44T
Total Liabilities	-648.36B	4.89T	4.52T	4.03T	3.51T	3.19T
Stockholders Equity	648.36B	648.36B	632.08B	550.05B	480.26B	469.91B
Cash Flow
Free Cash Flow	0.00	-87.30B	-176.55B	-130.13B	162.58B	446.35B
Operating Cash Flow	0.00	-79.99B	-169.25B	-124.42B	166.72B	449.76B
Investing Cash Flow	0.00	-7.09B	-7.11B	-5.60B	-4.06B	-3.31B
Financing Cash Flow	0.00	311.52B	-22.42B	11.15B	331.77B	-40.96B

IndusInd Bank Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 882.10
• 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:INDUSINDBK, the sentiment is Positive. The current price of 882.1 is above the 20-day moving average (MA) of 858.93, above the 50-day MA of 843.52, and above the 200-day MA of 798.47, indicating a bullish trend. The MACD of 17.01 indicates Negative momentum. The RSI at 63.81 is Neutral, neither overbought nor oversold. The STOCH value of 82.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:INDUSINDBK.

IndusInd Bank Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IDBI	76 Outperform	₹1.11T	11.98	―	2.08%	11.31%	37.17%
BANKINDIA	74 Outperform	₹664.46B	6.89	―	2.87%	14.34%	20.97%
INDIANB	74 Outperform	₹1.12T	9.95	―	2.07%	9.74%	12.56%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
YESBANK	68 Neutral	₹716.68B	25.25	―	―	5.15%	52.75%
INDUSINDBK	62 Neutral	₹687.22B	-90.51	―	1.95%	-7.44%	-109.30%
ICICIPRULI	55 Neutral	₹991.88B	75.79	―	0.13%	-42.13%	48.75%

IndusInd Bank Ltd. Corporate Events

IndusInd Bank Clarifies SFIO Probe Triggered by Mandatory Regulatory Reporting

IndusInd Bank has clarified that recent media reports about being under investigation by the Serious Fraud Investigation Office (SFIO) stem from regulatory requirements mandating banks to report frauds above ₹1 crore to the SFIO in a prescribed format. The bank stated that it reported issues relating to accounting of internal derivative trades, certain unsubstantiated balances in its “other assets” and “other liabilities” accounts, and microfinance interest and fee income to the SFIO in June 2025, and that the SFIO has since held telephonic discussions and is expected to send a formal request for further details. IndusInd emphasized its ongoing compliance with disclosure obligations under securities listing regulations and has made this clarification available on its website, signaling an effort to reassure investors and regulators about transparency and cooperation with the authorities.

RBI Approves HDFC Bank’s Stake Acquisition in IndusInd Bank

The Reserve Bank of India has approved HDFC Bank Limited to acquire up to 9.50% of IndusInd Bank’s paid-up share capital or voting rights. This approval is contingent on compliance with various regulations, and HDFC Bank must complete the acquisition within a year or the approval will be revoked. This move could impact IndusInd Bank’s market positioning and shareholder dynamics, though HDFC Bank will not have board representation.

IndusInd Bank Denies Strategic Partner Talks Amidst Market Speculation

IndusInd Bank Ltd. clarified that there are no ongoing discussions to onboard a strategic partner, despite recent media reports suggesting otherwise. The bank emphasized its well-capitalized status and commitment to its strategic growth roadmap, reaffirming its focus on maintaining transparency and compliance with disclosure regulations.

IndusInd Bank Engages with Analysts and Investors at Asia Pacific Summit

IndusInd Bank Limited recently held an analysts and institutional investors meet in Singapore, as part of the Morgan Stanley Twenty-Fourth Annual Asia Pacific Summit. The bank emphasized that no unpublished price-sensitive information was shared during the meet, and discussions were based on publicly available documents. This event underscores the bank’s commitment to transparency and engagement with stakeholders, potentially reinforcing its market position and investor confidence.

IndusInd Bank Reports Q2 FY26 Financial Results

IndusInd Bank Limited has published its unaudited financial results for the quarter and half-year ending September 30, 2025. The bank reported a net profit of 167 crores for the first half of the fiscal year, with notable financial metrics such as a Net Interest Income of 4,409 crores and a Capital Adequacy Ratio of 17.10%. Despite a decrease in net profit compared to the previous year, the bank maintains a strong position with a low Non-Performing Asset ratio and a healthy liquidity coverage ratio, reflecting its robust financial health and stability.

IndusInd Bank Releases Earnings Call Audio for Investor Transparency

IndusInd Bank Limited has announced the availability of the audio recording of its earnings call, which discussed the unaudited financial results for the quarter and half-year ending September 30, 2025. This move enhances transparency and allows stakeholders, including analysts and investors, to access detailed financial insights, potentially impacting the bank’s market perception and investor relations.