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Karur Vysya Bank Ltd. Stock Analysis

Small Cap
Evaluated by 3138 users | BSE: 590003 | NSE: KARURVYSYA |
Bank - Private
Karur Vysya Bank, incorporated 1916, is popularly known as KVB. The bank was founded by Late Shri M A Venkatarama Chettiar and the Late Shri Athi Krishna Chettiar with an intention to develop the saving habit and to provide financial assistance to traders and agriculturists in and around...
1. Right Stock
Very Good
2. Right Price
3. Right Time

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Karur Vysya Bank Ltd. has performed well in majority of the past ten years indicating its past ten year financial track record is very good
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Net Interest Income (Rs. Cr.)7679171,1581,2841,4661,7812,0742,2982,3632,348
Y-o-Y Gr. Rt.33-19.6%26.3%10.8%14.2%21.5%16.4%10.8%2.8%-0.6%
Total Income2,4823,6214,6955,6805,9776,1506,4056,6006,7797,145
Y-o-Y Gr. Rt.-45.9%29.7%21%5.2%2.9%4.1%3.1%2.7%5.4%
Adjusted EPS (Rs.)
Adjusted Earning per Share is the company’s net profit per share after adjusting for extra-ordinary/exceptional items
7.457.938.76.796.357.898.424.322.642.94
Y-o-Y Gr. Rt.-6.4%9.7%-22%-6.5%24.3%6.7%-48.7%-38.9%11.4%
Book Value per Share (Rs.)
The total value that a company will fetch upon liquidation (if it is closed down), after settling all obligations is called its Book Value. Book value of a company includes only tangible assets. Book value allocated to each outstanding share is called Book Value per share
37.9142.8148.7352.1559.0463.577078.3780.3582.57
Y-o-Y Gr. Rt.-12.9%13.8%7%13.2%7.7%10.1%12%2.5%2.8%
To view Net Profit/Total Funds (%) Colour Rating Guide click here
Net Profit/Total Funds (%)
  • >1.25 : Very Good
  • 1-1.25 : Somewhat Good
  • <1 : Not Good
Net Profit/Total Funds (%)1.661.521.30.870.871.0110.540.310.34
To view Net NPA to Net Advances (%) Colour Rating Guide click here
Net NPA to Net Advances (%): Colour Rating Guide
  • < 0.5 : Very Good
  • 0.5-1 : Somewhat Good
  • >1: Not Good
Net NPA to Net Advances (%)0.070.330.370.410.70.552.534.164.983.92
To view Capital Adequacy Ratio Colour Rating Guide click here
Capital Adequacy Ratio: Colour Rating Guide
  • > 12% : Very Good
  • 9%-12% : Somewhat Good
  • <9%: Not Good
Capital Adequacy Ratio - - - - - - - - - 0%
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
Karur Vysya Bank Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Interest Income13.2%9.9%4.2%-0.6%
Total Income12.5%3.6%3.7%5.4%
Adjusted EPS
Adjusted Earnings per Share is the Company’s net profit per share after adjusting for extra-ordinary/exceptional items.
-9.8%-14.3%-29.6%11.4%
Book Value per Share
9%6.9%5.7%2.8%
Share Price -6.1% -13.3% -29.3% -40.6%
Key Financial Ratios
RATIOS \ YEARSMar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20
Interest Earned / Total Income89.3590.3390.3690.0690.2888.5187.7986.3685.883.84
Margins
To view Margins Colour Rating Guide click here
Margins: Colour Rating Guide
  • >2.75 : Very Good
  • 1.75-2.75 : Somewhat Good
  • <1.75 : Not Good
NIM (%)2.812.512.572.572.863.163.453.543.523.54
Performance Ratios
To view Performance Ratios Colour Rating Guide click here
Performance Ratios: Colour Rating Guide
  • >15% : Very Good
  • 12%-15% : Somewhat Good
  • <12% : Not Good
Return on Equity (%)22.2620.8119.0113.4612.0912.8812.616.123.323.61
Liquidity Ratio
To view Liquidity Ratio Colour Rating Guide click here
Liquidity Ratio: Colour Rating Guide
  • >35 : Very Good
  • 25-35 : Somewhat Good
  • <25 : Not Good
CASA (%) 23.2819.1619.2520.5422.0223.3127.7329.1429.9231.33
Corporate Governance What do we look at?
Corporate Governance
Board Credentials
Promoter's holding
Transparency
Integrity
Entity Percentage Holding
Promoters 2.11%
Institutions 41.65%
Non-Institutions 56.24%
Pledged *21.8121.6723.7821.3320.6320.0319.6921.8421.6114.72
* Pledged shares as % of Promoter's holding (%)

MoneyWorks4Me analysed the past 10-year performance of Karur Vysya Bank Ltd. and arrived at the following conclusion:

Past 10 year's financial track record indicates that Karur Vysya Bank Ltd. is a good quality company. However, for specific investment actions please connect with your investment advisor.

The 5-year analysis of Karur Vysya Bank Ltd.'s performance infers:

Karur Vysya Bank Ltd. earnings have declined by -14.3%, whereas share price has depreciated -13.3% CAGR over the past five years, indicating the company's share price is likely overvalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of Karur Vysya Bank Ltd. share prices over the last 10 years. Here is what we found out:

Karur Vysya Bank Ltd. share price has depreciated -5.9% annually over the past ten years.

Karur Vysya Bank, incorporated 1916, is popularly known as KVB. The bank was founded by Late Shri M A Venkatarama Chettiar and the Late Shri Athi Krishna Chettiar with an intention to develop the saving habit and to provide financial assistance to traders and agriculturists in and around Karur, a textile town in Tamil Nadu.

The bank was set up with a seed capital of Rs 1 lakh. Today it has grown to 300 branches and an ATM network of 301.

The bank has access to over 13000 domestic ATMs

Karur Vysya Bank, incorporated 1916, is popularly known as KVB. The bank was founded by Late Shri M A Venkatarama Chettiar and the Late Shri Athi Krishna Chettiar with an intention to develop the saving habit and to provide financial assistance to traders and agriculturists in and around Karur, a textile town in Tamil Nadu.

The bank was set up with a seed capital of Rs 1 lakh. Today it has grown to 300 branches and an ATM network of 301.

The bank has access to over 13000 domestic ATMs under the VISA / NFS / MITR /Axis bank cluster and over 1 million VISA ATMs worldwide.

KVB provides VISA Debit card facility with a card base of over 1.30 million. Karur Vysya Bank is among 6 old generation private sector banks that has been identified by the Reserve Bank of India (RBI) to implement Speed Clearing at Mumbai.

Tie-ups

KVB has a tie up with Birla Sun Life Insurance Company and Bajaj Allianz General Insurance Company to offer all types of insurance products.

The bank is also engaged in distribution of mutual funds products namely SBI MF, Reliance MF, Sundaram BNP Parbas MF, Birla Sunlife MF, Franklin Templeton MF and LIC MF.

Karur Vysya Bank has a tie up with Religare Securities for off-line trading facility to its demat customers.

Products and Services

Personal Banking- Under this, KVB offers various products and services such as saving accounts, loans, deposits, ATM facility, RTGS/NEFT facility, internet banking, demat services, etc.

NRI Banking- Besides various personal banking products, it also offers remittance  and consultancy services to its NRI clients.

Corporates- To corporates it offers various products and services such as corporate accounts, term finance, working capital loans, RTGS, NEFT and CMS,

Awards

Karur Vysya Bank was ranked as the Most Efficient Small Bank by Business Today – KPMG.

The bank was recognised as No 1 Old Private Sector Bank by Financial Express – Ernst & Young.

The bank was awarded the CFBP Jamnalal Bajaj Fair Business Practices Award in the financial sector by the Council for Fair Business Practices, Mumbai.

Initiatives

The bank will soon launch online utility payment facility through Billdesk.com for effecting payments for electricity, telephone and water tax bills and for insurance and mutual fund payments.

The bank has a tie up with enStage.com to launch a prepaid travel card.

KVB will also introduce facilities like institutional fees payment and inter account/card funds transfer.

Outlook

The bank is opening a branch located at Cheyyar, Tamil Nadu.

Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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