South Indian Bank Limited (SOUTHBANK) AI Stock Analysis

• Market Cap: ₹104.68B
• Dividend Yield: 1%
• Average Volume (3M): 1.78M
• Price to Earnings (P/E): 7.7
• Beta (1Y): 1.03
• Revenue Growth: 8.09%
• EPS Growth: 2.68%
• Country: IN
• Employees: 13,116
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.34
• Shares Outstanding: 2,617,047,900
• 10 Day Avg. Volume: 3,908,439
• 30 Day Avg. Volume: 1,784,160
• PEG Ratio: -2.02
• Price to Book (P/B): 0.61
• Price to Sales (P/S): 0.55
• P/FCF Ratio: -0.76
• 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: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 77 Outperform
• Price Target: ₹43.00 ▲(7.50% Upside)

South Indian Bank Limited's stock is rated favorably due to its strong technical indicators and attractive valuation. The financial performance is solid, though cash flow management and leverage require careful monitoring. The absence of earnings call and corporate events data does not impact the overall positive outlook.

Positive Factors

Revenue Growth

Consistent revenue growth suggests that South Indian Bank is effectively expanding its market reach and enhancing its product offerings, which is crucial for sustaining long-term business growth and competitiveness in the banking sector.

Profitability

The bank's strong profitability metrics, including increased net income and healthy profit margins, indicate effective cost management and operational efficiency, which are vital for maintaining financial health and shareholder value over the long term.

Equity Position

A strong equity position provides financial stability and a buffer against economic downturns, enabling South Indian Bank to invest in growth opportunities and withstand market volatility, ensuring long-term sustainability.

Negative Factors

Cash Flow Management

Inconsistent operating cash flow and fluctuating free cash flow indicate potential issues in cash management, which could affect the bank's ability to fund operations and growth initiatives, posing a risk to long-term financial stability.

Leverage

Higher leverage can strain financial resources and limit flexibility, increasing the risk of financial distress if not managed carefully, especially in a volatile economic environment, potentially impacting long-term viability.

Revenue Consistency

Inconsistent revenue growth can signal volatility in business operations or market conditions, which may challenge the bank's ability to plan and invest for the future, affecting its competitive position and long-term growth prospects.

South Indian Bank Limited Business Overview & Revenue Model

Company Description

South Indian Bank Limited (SOUTHBANK) is a prominent private sector bank in India, established in 1929. Headquartered in Thrissur, Kerala, it offers a wide range of banking and financial services, including retail banking, corporate banking, treasury operations, and various financial products such as loans, deposits, and insurance. The bank primarily serves customers in southern India but has expanded its presence across the country, catering to individuals, businesses, and institutions with tailored financial solutions.

How the Company Makes Money

South Indian Bank generates revenue primarily through interest income from loans and advances, which constitutes a significant portion of its earnings. The bank provides various loan products, including personal loans, home loans, vehicle loans, and business loans, with interest rates that contribute to its profitability. Additionally, SOUTHBANK earns income from fees and commissions on services such as account maintenance, transaction processing, and financial advisory services. Other revenue streams include income from investments in securities and government bonds, as well as treasury operations. The bank also engages in cross-selling financial products, including insurance and mutual funds, which further enhances its revenue. Strategic partnerships with financial institutions and fintech companies may also contribute to its earnings through collaborative product offerings and enhanced customer acquisition.

South Indian Bank Limited Financial Statement Overview

Summary

South Indian Bank Limited has shown strong profitability and equity positions, indicating a solid financial foundation. However, challenges in cash flow management and increased leverage require attention. The overall trajectory is positive, but careful management is needed to sustain growth and stability.

Income Statement

The income statement demonstrates strong profitability metrics with a significant increase in net income over the years. Gross and net profit margins have been healthy, though revenue growth has been inconsistent. The bank managed to grow its EBIT and EBITDA margins, indicating improved operational efficiency.

Balance Sheet

The balance sheet shows a good equity position with a favorable equity ratio, suggesting financial stability. However, the debt-to-equity ratio has increased, pointing to higher leverage, which could pose a risk if not managed carefully. The return on equity has improved, indicating efficient use of equity.

Cash Flow

Cash flow analysis reveals challenges in maintaining positive operating cash flow consistently, with occasional negative figures. Free cash flow has fluctuated significantly, indicating potential volatility in cash management. However, the free cash flow to net income ratio suggests adequate cash generation relative to net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	114.79B	112.30B	101.30B	81.82B	76.28B	82.99B
Gross Profit	54.70B	53.03B	48.49B	39.61B	32.81B	34.01B
EBITDA	17.96B	18.59B	16.19B	11.96B	-82.03M	1.69B
Net Income	13.31B	13.03B	10.70B	7.75B	448.08M	619.11M
Balance Sheet
Total Assets	1.28T	1.25T	1.17T	1.08T	1.00T	941.49B
Cash, Cash Equivalents and Short-Term Investments	118.86B	122.60B	86.49B	70.80B	113.94B	100.08B
Total Debt	17.28B	43.00B	42.96B	73.35B	55.36B	56.72B
Total Liabilities	1.17T	1.15T	1.09T	1.01T	941.98B	883.40B
Stockholders Equity	104.14B	101.08B	88.26B	66.75B	58.54B	58.09B
Cash Flow
Free Cash Flow	0.00	-81.14B	28.59B	-73.74B	42.50B	57.27B
Operating Cash Flow	0.00	-79.56B	30.41B	-72.61B	43.52B	58.08B
Investing Cash Flow	0.00	44.34B	-19.86B	-3.86B	-17.41B	-10.92B
Financing Cash Flow	0.00	57.60B	81.21B	35.24B	-1.75B	-1.38B

South Indian Bank Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 40.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:SOUTHBANK, the sentiment is Positive. The current price of 40 is above the 20-day moving average (MA) of 39.50, above the 50-day MA of 38.00, and above the 200-day MA of 30.25, indicating a bullish trend. The MACD of 0.48 indicates Positive momentum. The RSI at 56.89 is Neutral, neither overbought nor oversold. The STOCH value of 50.26 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:SOUTHBANK.

South Indian Bank Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TMB	79 Outperform	₹80.65B	6.64	―	2.16%	7.08%	7.69%
SOUTHBANK	77 Outperform	₹104.68B	7.71	―	1.00%	8.09%	2.68%
CSBBANK	73 Outperform	₹68.63B	11.05	―	―	32.90%	12.28%
DCBBANK	71 Outperform	₹54.27B	7.92	―	0.80%	21.44%	17.14%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
EQUITASBNK	56 Neutral	₹67.11B	-73.60	―	1.72%	10.02%	-120.18%

South Indian Bank Limited Corporate Events

South Indian Bank Allots 188,082 Shares Under ESOS Scheme

South Indian Bank Limited has announced the allotment of 188,082 equity shares under its SIB ESOS Scheme – 2008. This allotment, approved by the Nomination and Remuneration Committee, involves the exercise of stock options by eligible grantees, resulting in an increase in the bank’s issued and subscribed capital to Rs. 261.70 crore. This move is part of the bank’s ongoing efforts to incentivize employees and align their interests with the company’s growth, potentially enhancing employee motivation and retention.

South Indian Bank Allots Equity Shares Under ESOS Scheme

South Indian Bank Limited has announced the allotment of 1,09,998 equity shares under its SIB ESOS Scheme 2008. This move, executed by the Nomination and Remuneration Committee of the Board, reflects the bank’s commitment to rewarding its employees and aligning their interests with the company’s growth. The allotment, which increases the bank’s issued and subscribed capital, is part of a strategic approach to enhance employee engagement and motivation, potentially impacting the bank’s operational efficiency and market positioning positively.

South Indian Bank Releases Q2 FY ’26 Earnings Call Transcript

South Indian Bank Limited has released the transcript of its Q2 FY ’26 earnings conference call held on October 17, 2025. The transcript, which is available on the bank’s website, provides insights into the bank’s financial performance and strategic initiatives. This dissemination of information is part of the bank’s compliance with regulatory requirements, ensuring transparency and keeping investors and analysts informed about its operations and future outlook.

South Indian Bank Reports Positive Growth in Q3 2025

South Indian Bank Limited has released its business updates for the quarter ending September 30, 2025, reporting a year-on-year growth in gross advances by 9% and total deposits by 10%. The bank’s CASA ratio slightly increased to 31.86%, indicating a stable deposit base. These figures, although provisional, suggest a positive trajectory in the bank’s financial performance, potentially strengthening its position in the competitive banking sector.