Jana Small Finance Bank Ltd (JSFB) AI Stock Analysis

• Market Cap: ₹36.80B
• Dividend Yield: N/A
• Average Volume (3M): 5.69K
• Price to Earnings (P/E): 9.2
• Beta (1Y): 1.33
• Revenue Growth: 13.36%
• EPS Growth: -50.07%
• Country: IN
• Employees: 21,800
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 7.13
• Shares Outstanding: 105,273,690
• 10 Day Avg. Volume: 4,739
• 30 Day Avg. Volume: 5,692
• PEG Ratio: -0.18
• Price to Book (P/B): 1.06
• Price to Sales (P/S): 0.81
• P/FCF Ratio: -1.71
• 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: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 62 Neutral
• Price Target: ₹381.00 ▼(-8.10% Downside)

The overall stock score of 62 reflects mixed financial performance with strong gross profit margins but declining revenue and profitability. Technical indicators suggest bearish momentum, while valuation appears reasonable. The absence of earnings call and corporate events data limits further insights.

Positive Factors

Financial inclusion niche

Jana’s core business targets underserved retail, microfinance and small business clients, a structural market with persistent demand and limited mainstream competition. This niche supports steady loan origination, high customer stickiness, and long-term cross-sell opportunities as financial inclusion deepens.

Improving leverage management

A lower and stable debt-to-equity ratio indicates better leverage control, reducing refinancing risk and improving capital flexibility. Over months this strengthens balance-sheet resilience, enabling the bank to sustain lending through cycles and invest in growth or capital buffers without over-reliance on volatile funding.

High gross margins from lending model

Very high gross margins reflect an efficient interest spread and low direct cost base for core lending activities. Structurally, strong spreads in micro and small-business lending can sustain profitability even with higher provisioning, supporting long-term earnings power if credit quality is maintained and scale is rebuilt.

Negative Factors

Sharp revenue contraction

A meaningful revenue decline undermines scale economics and puts pressure on fee and interest income sustainability. Persisting over months, this reduces ability to absorb operating costs, limits reinvestment in distribution and technology, and risks compounding profitability weakness without clear recovery drivers.

Operating cash flow weakness

Negative operating cash flow signals cash generation problems from core operations, forcing reliance on external funding or asset sales to support lending. Over a medium horizon this raises liquidity and funding-cost risks, constraining growth, capital expenditures, and the bank's ability to withstand credit or macro shocks.

Declining return on equity

A falling ROE over the latest year indicates declining efficiency in converting equity into profits. If persistent, lower ROE harms shareholder returns and limits the bank’s capacity to raise equity on favorable terms, potentially forcing tougher trade-offs between growth, dividends, and capital conservation.

Jana Small Finance Bank Ltd Business Overview & Revenue Model

Company Description

Jana Small Finance Bank Limited provides various banking products and services to individuals and enterprises in India. It operates through Treasury, Retail Banking, Corporate/Wholesale Banking, and Other Banking Operations segments. The company offers current and savings accounts; fixed, recurring, and other deposits; and loans, such as two-wheeler, group, business, gold, home improvement, agri group and individual, and home loans, as well as consumer education on loan overdue concepts. It also offers life, general, and health insurance products; cards; and investment and payment services, as well as mobile, internet, and corporate internet banking services. The company was formerly known as Janalakshmi Financial Services Limited and changed its name to Jana Small Finance Bank Limited in March 2018. The company was founded in 1999 and is based in Bengaluru, India.

How the Company Makes Money

Jana Small Finance Bank generates revenue through various channels, primarily by earning interest on loans provided to customers. The bank offers microloans, personal loans, and small business loans, which typically carry higher interest rates compared to traditional banking products, allowing for substantial interest income. Additionally, JSFB earns money through fees and commissions associated with account maintenance, transaction services, and other banking products. The bank may also generate income from investments in government securities and bonds. Strategic partnerships with microfinance institutions and organizations targeting financial inclusion further enhance its reach and customer base, contributing to its overall earnings. Overall, the combination of interest income from loans and fee-based services forms the core of JSFB's revenue model.

Jana Small Finance Bank Ltd Financial Statement Overview

Summary

Jana Small Finance Bank Ltd's financial performance is mixed. Strong gross profit margins are overshadowed by declining revenue growth and profitability margins. The balance sheet shows improved leverage, but cash flow challenges indicate potential liquidity issues.

Income Statement

Jana Small Finance Bank Ltd has shown a mixed performance in its income statement. The gross profit margin remains strong at 100%, indicating efficient cost management. However, the net profit margin has decreased from 25.5% in 2024 to 20.8% in 2025, reflecting a decline in profitability. The revenue growth rate is negative at -34% for 2025, which is a significant concern. EBIT and EBITDA margins have also decreased, indicating pressure on operational efficiency.

Balance Sheet

The balance sheet shows a stable debt-to-equity ratio of 0.94 in 2025, which is an improvement from previous years, indicating better leverage management. Return on equity has decreased to 12.2% from 18.7% in 2024, suggesting reduced efficiency in generating profits from shareholders' equity. The equity ratio is not provided, but the overall leverage position seems to be improving.

Cash Flow

The cash flow statement reveals challenges, with negative operating and free cash flow in 2025. The free cash flow to net income ratio is positive at 1.03, indicating that free cash flow covers net income, but the operating cash flow to net income ratio is negative, highlighting cash flow management issues. The free cash flow growth rate is not calculable due to negative values, suggesting volatility in cash generation.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	55.27B	53.67B	45.11B	36.30B	30.05B	26.76B
Gross Profit	31.12B	30.50B	26.25B	22.15B	16.68B	14.41B
EBITDA	4.15B	5.34B	5.76B	3.25B	982.86M	1.55B
Net Income	4.33B	5.01B	6.70B	2.56B	174.71M	722.60M
Balance Sheet
Total Assets	0.00	384.64B	327.10B	256.44B	201.89B	190.79B
Cash, Cash Equivalents and Short-Term Investments	0.00	44.59B	20.28B	19.16B	15.36B	21.42B
Total Debt	0.00	38.67B	111.06B	99.86B	71.13B	48.15B
Total Liabilities	-41.18B	343.45B	291.33B	238.46B	189.88B	179.64B
Stockholders Equity	41.18B	41.18B	35.77B	17.97B	12.01B	11.15B
Cash Flow
Free Cash Flow	0.00	-25.49B	12.92B	-11.63B	8.18B	5.73B
Operating Cash Flow	0.00	-24.75B	13.69B	-11.37B	8.59B	6.15B
Investing Cash Flow	0.00	-3.21B	-7.80B	-4.34B	-13.30B	-12.66B
Financing Cash Flow	0.00	52.17B	334.76M	49.01B	9.11B	19.17B

Jana Small Finance Bank Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 414.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:JSFB, the sentiment is Negative. The current price of 414.6 is above the 20-day moving average (MA) of 384.12, above the 50-day MA of 413.69, and below the 200-day MA of 464.31, indicating a bearish trend. The MACD of -17.25 indicates Positive momentum. The RSI at 34.14 is Neutral, neither overbought nor oversold. The STOCH value of 35.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:JSFB.

Jana Small Finance Bank Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
CSLFINANCE	66 Neutral	₹6.03B	7.30	―	0.93%	17.32%	13.66%
UTIAMC	65 Neutral	₹128.47B	22.94	―	2.30%	-9.65%	-30.52%
JSFB	62 Neutral	₹36.80B	9.19	―	―	13.36%	-50.07%
SURYODAY	57 Neutral	₹14.29B	20.95	―	―	―	―
EQUITASBNK	56 Neutral	₹78.51B	-113.21	―	1.63%	10.02%	-120.18%
ESAFSFB	52 Neutral	₹14.45B	-3.87	―	2.64%	-8.71%	-2192.08%