Sure, Bank of Baroda is an Indian multinational banking and financial services company based in Vadodara, Gujarat, India. It is the third largest bank in India by assets and market capitalization. The bank has a global network of over 8,000 branches and 13,000 ATMs across 26 countries.
The Bank of Baroda was founded in 1908 and is headquartered in Vadodara, Gujarat, India. The bank has a global network of over 8,000 branches and 13,000 ATMs across 26 countries. The bank offers a wide range of products and services to its customers, including personal banking, corporate banking, investment banking, and insurance.
The Bank of Baroda is a public sector bank, which means that it is owned by the government of India. The bank is listed on the Bombay Stock Exchange and the National Stock Exchange of India.
The Bank of Baroda has been ranked as the third largest bank in India by assets and market capitalization. The bank has also been ranked as one of the most trusted brands in India.
Bank of Baroda Overview
| Feature |
Description |
| Founded |
1908 |
| Headquarters |
Vadodara, Gujarat, India |
| Global Network |
Over 8,000 branches, 13,000 ATMs across 26 countries |
| Products & Services |
Personal banking, corporate banking, investment banking, insurance |
| Ownership |
Public sector bank (Government of India) |
| Stock Exchanges |
Bombay Stock Exchange, National Stock Exchange of India |
| Ranking |
3rd largest bank in India by assets & market capitalization |
| Brand Recognition |
One of the most trusted brands in India |
Bank of Baroda Products
| Category |
Subcategory |
Examples |
| Accounts |
Savings Accounts |
Baroda Platinum Saving, Baroda Easy Access SB, Baroda Senior Citizen SB, Salary Accounts, NRE/NRO Accounts |
|
Current Accounts |
Baroda Advantage Current, Baroda Premium Current Privilege, Baroda Current Account |
|
Fixed Deposits |
Baroda Shubh Laabh FD, Baroda Tax Benefit FD, Baroda Flexi Deposit, Baroda Kisan Vikas Patra |
|
Other Accounts |
Demat & Trading Accounts, Overdraft Facilities, Safe Deposit Boxes |
| Loans |
Personal Loans |
Baroda Personal Loan, Baroda Baroda Top-Up Loan, Baroda Loan Against FD/RD |
|
Home Loans |
Baroda Home Loan, Baroda Home Loan Advantage, Baroda NRI Home Loan |
|
Education Loans |
Baroda Scholar Loan, Baroda Abhyas Loan, Baroda Education Loan for Girl Child |
|
Other Loans |
Car Loans, Gold Loans, Loan Against Property, Business Loans |
| Investments |
Mutual Funds |
Baroda Mutual Fund Investment Plans, SIPs, Lump Sum Investments |
|
Government Schemes |
E-Kisan Vikas Patra, Sukanya Samriddhi Account, Kisan Vikas Patra |
|
Other Investments |
IPO Subscriptions, Bonds, Insurance (Life & General) |
| Digital Products |
Internet Banking |
bob World Internet Banking, Mobile Banking, Online Account Opening |
|
Cards |
Credit Cards, Debit Cards, Prepaid Cards |
|
Other Digital Services |
Online Payments, Bill Payments, Recharge, E-commerce Integration |
Bank of Baroda Awards and Recognition
| Year |
Award/Recognition |
Category |
Awarded by |
| 2023 |
National Award for Outstanding Performance in SHG Bank Linkage Programme |
Financial Inclusion |
Deendayal Antyodaya Yojana- National Rural Livelihood Mission, Ministry of Rural Development, Govt. of India |
| 2023 |
Best Bank in Supply Chain Finance |
Banking Services |
The Institute of Supply Chain Management |
| 2020 |
Top Performing Bank under EASE Reforms Index Awards |
Overall Performance |
Indian Banks’ Association |
| 2020 |
First Position in Responsible Banking under EASE Reforms Index Awards |
ESG Initiatives |
Indian Banks’ Association |
| 2020 |
First Position in Deepening Financial Inclusion and Digitization under EASE Reforms Index Awards |
Financial Inclusion & Digital Banking |
Indian Banks’ Association |
| 2019 |
FICCI Digital Awards – Business Transformation Award |
Digital Excellence |
Federation of Indian Chambers of Commerce & Industry |
| 2019 |
Fintech Awards – Banking Leader Award |
Banking Innovation |
Institute of Financial Services Mumbai |
| 2018 |
Asian Leadership Awards – Best Managed Bank (India) |
Overall Performance |
UBM Plc. |
| 2018 |
Dun & Bradstreet Corporate Awards – India’s Most Vibrant Company 2018 |
Financial Performance |
Dun & Bradstreet |
| 2017 |
AIMA Corporate Governance Awards – Top 50 Governed Companies (India) |
Corporate Governance |
All India Management Association |
Bank of Baroda Fundamentals
| Category |
Metric |
Value |
Interpretation |
| Financials |
Net Profit (FY23) |
Rs. 16,055 crore |
Strong profitability growth (>150% YoY) |
|
Revenue (FY23) |
Rs. 45,218 crore |
Steady revenue growth (~6% YoY) |
|
Capital Adequacy Ratio (CAR) |
16.24% |
Strong capital position (above regulatory minimum) |
|
Gross NPA Ratio |
2.53% |
Improved asset quality (down from 5.64% in FY22) |
|
Cost to Income Ratio |
47.72% |
High operating expenses, room for improvement |
| Valuation |
Market Capitalization |
Rs. 1,13,356 crore |
Large-cap company with decent liquidity |
|
Price to Earnings Ratio (P/E) |
6.00 |
Low valuation suggesting potential undervaluation |
| Shareholding Pattern |
Promoters |
63.97% |
Majority control by government of India |
|
DIIs (Domestic Institutional Investors) |
16.00% |
Moderate institutional participation |
|
FIIs (Foreign Institutional Investors) |
12.39% |
Limited foreign ownership |
| Risks |
Rising interest rates |
May impact loan growth and profitability |
|
Increasing competition from private banks |
May put pressure on market share |
|
Dependence on government-driven initiatives |
Growth may be tied to economic policies |
Bank of Baroda Revenue and Net Profit
| Year |
Revenue (Rs. crore) |
Net Profit (Rs. crore) |
YoY Revenue Growth |
YoY Net Profit Growth |
| FY23 |
45,218 |
16,055 |
6.00% |
150.00% |
| FY22 |
42,482 |
6,398 |
5.50% |
42.00% |
| FY21 |
40,234 |
4,502 |
4.80% |
30.00% |
Bank of Baroda Shareholding Patterns
| Category |
Holding (%) |
Change from Jun 2023 |
Notes |
| Promoters (Govt. of India) |
63.97 |
0.00 |
Majority control |
| Domestic Institutional Investors (DIIs) |
16.00 |
+0.70 |
Includes mutual funds, insurance companies, banks, etc. |
| Foreign Institutional Investors (FIIs) |
12.39 |
+0.10 |
Foreign ownership remains limited |
| Public Shareholding (Remaining) |
7.64 |
-0.80 |
Includes retail investors, employees, others |
Bank of Baroda Share Price Target for 2024, 2025, 2026, 2027, 2028
| Year |
Share Price Target (Rs.) |
| 2024 |
240 |
| 2025 |
300 |
| 2026 |
340 |
| 2027 |
410 |
| 2028 |
500 |
Bank of Baroda Share Price Target for 2024
Bank of Baroda Share Price Target for 2024 is 240.
Bank of Baroda Share Price Target for 2025
Bank of Baroda Share Price Target for 2025 is 300 .
Bank of Baroda Share Price Target for 2026
Bank of Baroda Share Price Target for 2026 is 340.
Bank of Baroda Share Price Target for 2027
Bank of Baroda Share Price Target for 2027 is 410.
Bank of Baroda Share Price Target for 2028
Bank of Baroda Share Price Target for 2028 is 500.
Bank of Baroda Dividend History
| Year |
Ex-Date |
Record Date |
Dividend Per Share (Rs.) |
Dividend Yield (%) |
Remarks |
| 2023 |
– |
May 16 |
5.50 |
2.46 |
Final Dividend (For FY23) |
| 2022 |
Jun 17 |
Jun 22 |
2.85 |
1.42 |
Revised Dividend |
| 2021 |
Jun 22 |
Jun 28 |
1.20 |
0.60 |
Final Dividend |
| 2020 |
Jun 16 |
Jun 20 |
3.20 |
1.60 |
Final Dividend |
| 2019 |
Jun 11 |
Jun 17 |
10.50 |
5.25 |
Final Dividend |
Bank of Baroda Share Split History
| **Date |
Split Ratio |
Explanation** |
| 22nd January 2015 |
1:5 |
One pre-split share was split into five post-split shares, resulting in a decrease in face value from Rs. 10 to Rs. 2. |
Future Outlook of Bank of Baroda
Positive Outlooks:
- Continued growth: The Indian banking sector is projected to grow in the coming years, potentially benefiting Bank of Baroda if it maintains its market share and improves operational efficiency.
- Financial performance: Consistent improvement in revenue, profitability, and asset quality could attract more investors and boost the share price.
- Digital transformation: Embracing digital technologies and providing innovative financial products can enhance customer experience and market competitiveness.
- Government support: As a public sector bank, Bank of Baroda may receive support from the government in terms of capital infusion or policy initiatives.
Read more:
Risks Associated With Investing in Bank of Baroda
| Category |
Risk |
Description |
Potential Impact |
Mitigation Strategies |
| Macroeconomic Risks |
Economic Slowdown: |
A slowdown in the Indian economy can lead to decreased loan demand and higher non-performing assets (NPAs) for Bank of Baroda. |
Reduced profitability, lower share price. |
Invest in diversified portfolio, monitor economic indicators, consider short-term investments. |
|
Rising Interest Rates: |
If interest rates increase, it can make it more expensive for Bank of Baroda to borrow and may lead to lower demand for loans. |
Reduced profitability, decreased demand for loans. |
Focus on fixed-income investments, consider interest rate hedge options, monitor monetary policy announcements. |
|
Inflation: |
Increased inflation can erode the value of Bank of Baroda’s earnings and reduce real returns for investors. |
Lower returns, potentially negative real returns. |
Invest in inflation-protected securities, focus on dividend-paying stocks, monitor inflation data. |
| Industry Risks |
Competition: |
The Indian banking sector is highly competitive, with private and public sector banks vying for market share. |
Reduced market share, lower profitability. |
Invest in banks with strong differentiation strategies, monitor competitive landscape, focus on customer satisfaction. |
|
Technological Disruption: |
Emerging technologies like fintech and blockchain could disrupt the traditional banking model and pose challenges for Bank of Baroda. |
Loss of market share, obsolescence of existing products and services. |
Invest in banks with strong digital transformation strategies, monitor technological advancements, adapt to changing customer needs. |
| Company-Specific Risks |
Asset Quality: |
High levels of non-performing assets (NPAs) can significantly impact Bank of Baroda’s profitability and financial stability. |
Reduced earnings, potential write-offs, decreased investor confidence. |
Analyze NPA trends, assess bank’s credit risk management practices, consider investment horizon. |
|
Operational Inefficiency: |
High operating costs or inefficient processes can hinder Bank of Baroda’s competitive edge and profitability. |
Reduced profit margins, lower return on equity (ROE). |
Analyze cost structure, evaluate operational efficiency measures, consider management track record. |
|
Governance Concerns: |
Poor corporate governance or unethical practices can lead to reputational damage and regulatory fines. |
Reduced investor confidence, potential legal troubles, share price decline. |
Evaluate corporate governance practices, monitor news and regulatory filings, invest in banks with strong ethical values. |
Bank of Baroda Competitors
| Category |
Competitors |
Brief Description |
| Public Sector Banks (PSBs): |
State Bank of India (SBI), Punjab National Bank (PNB), Canara Bank, Bank of India (BOI), IDBI Bank |
Large government-owned banks with wide branch networks and strong customer base. May offer lower interest rates on deposits and loans compared to private banks. |
| Private Sector Banks: |
HDFC Bank, ICICI Bank, Axis Bank, Kotak Mahindra Bank, Yes Bank |
Offer higher interest rates on deposits, wider range of financial products, and often superior customer service compared to PSBs. May have less geographical reach and customer base than PSBs. |
| Foreign Banks: |
HSBC India, Citibank India, Standard Chartered Bank |
Offer specialized products and services for international transactions and may cater to high-net-worth individuals. May have limited branch networks and focus on larger corporate clients. |
| Payment Banks & Fintech Companies: |
Paytm Payments Bank Ltd., Airtel Payments Bank Ltd., PhonePe |
Offer mobile-based banking services and cater to underserved populations. May not offer all traditional banking products and services. |
DISCLAIMER: We are not SEBI registered. We have not provided any real investment advice or stock recommendations. The share price targets and justifications in this article are hypothetical examples for educational purposes only. Stock prices depend on many factors and future returns are not guaranteed. Readers should do their own research before investing. Or consult a registered financial advisor for guidance. We do not guarantee any stock performance or returns. Investing in stocks involves risks.
