Canara Bank is a major public sector bank in India, known for its wide network of branches and diverse range of financial services.
Canara Bank Overview
| Feature | Description |
|---|---|
| Established | 1906 |
| Headquarters | Bangalore, India |
| Branches | Over 6,000 |
| ATMs | Over 10,500 |
| Services | Personal Banking, Corporate Banking, Agricultural Banking, Other Services |
Canara Bank Products
| Category | Product | Features | Benefits |
|---|---|---|---|
| Savings Accounts | Canara Savings Bank Account | Minimum balance requirements vary, multiple variants like Canara Jeevandhara with accident insurance | Interest earnings, ATM access, online banking |
| Canara Premium Payroll Package | Salary account with benefits like discounts, insurance coverage | Convenient salary deposit, additional perks | |
| Current Accounts | Different options like Canara Elite for high-volume transactions | No minimum balance, cheque facility, higher transaction limits | |
| Term Deposits | Fixed Deposit | Flexible tenures, attractive interest rates, monthly income options | Secure investment, guaranteed returns, regular income |
| Kamadhenu Deposit | Special high-interest FD with periodic interest payouts | Enhanced returns, convenient liquidity options | |
| Canara Tax Saver Scheme | ELSS scheme with tax benefits on investment | Long-term wealth creation, tax deduction advantage | |
| Recurring Deposits | Canara Dhanvarsha | Regular saving plans with interest accumulation | Goal-oriented saving, disciplined investment habit |
| Nitya Nidhi Deposit Scheme | Monthly income scheme with guaranteed returns | Regular income stream, secure investment for retirees | |
| Loans | Housing Loan | Competitive interest rates, multiple loan options, flexible repayment terms | Affordable homeownership, flexible financing |
| Housing cum Solar Loan | Green housing loan with subsidy benefits for solar installation | Sustainable home financing, energy savings | |
| Vehicle Loan | Financing for new and used vehicles, attractive interest rates | Convenient car or bike purchase, manageable repayment options | |
| Personal Loan | Unsecured loan for various purposes, quick approvals | Meeting immediate financial needs, flexible access to funds | |
| Gold Loan | Loan against gold ornaments, convenient liquidity option | Quick access to funds, collateralized loan with lower interest rates | |
| Investments | Mutual Funds | Diverse range of schemes for different risk appetites and goals | Professional fund management, long-term wealth creation |
| Sovereign Gold Bond Scheme | Investment in gold with guaranteed returns | Diversified portfolio, hedge against inflation | |
| Cards & Payments | Credit Cards | Various options with rewards programs, travel benefits, insurance coverage | Convenient cashless transactions, additional perks |
| Debit Cards | Secure ATM access, online transactions, purchase rewards | Easy access to funds, convenient shopping experience | |
| FASTag | Electronic toll payment system for hassle-free travel | Faster highway crossings, automatic toll deductions | |
| Digital Services | Mobile Banking | Banking on the go, fund transfers, bill payments, account management | Convenient banking experience, anytime access |
| Net Banking | Online banking platform for transactions, account statements, investment management | Secure and efficient banking, 24/7 access |
Canara Bank Awards and Recognition
| Year | Award/Recognition | Category | Organizer |
|---|---|---|---|
| 2023 | 3rd Rank | EASE Reforms Index Award 4.0 | Indian Banks’ Association (IBA) |
| 2023 | Winner | Golden Globe Tigers Awards – Excellence & Leadership Training and Development | Global Training & Development Forum |
| 2023 | Runner-up | BEST MSME BANK OF THE YEAR (PSU) | ASSOCHAM |
| 2023 | DSCI Excellence Awards | Winner – Best Security practices in Banking Sector | Data Security Council of India (DSCI) |
| 2023 | DSCI Excellence Awards | Winner – Security Leader of the year (BFSI) | Data Security Council of India (DSCI) |
| 2023 | DSCI Excellence Awards | Finalist – Best Security Operations Centre of the year | Data Security Council of India (DSCI) |
| 2022 | Winner | Emerging Asia Banking Awards – Best Performance on Growth | Indian Chamber of Commerce (ICC) |
| 2022 | 2nd Runner-up | Emerging Asia Banking Awards – Best Performance on Profitability | Indian Chamber of Commerce (ICC) |
| 2022 | 2nd Runner-up | Emerging Asia Banking Awards – Best Performance on Risk Management | Indian Chamber of Commerce (ICC) |
| 2022 | 2nd Runner-up | Emerging Asia Banking Awards – Best Performance on Asset Quality | Indian Chamber of Commerce (ICC) |
| 2020 | The Economic Times Best Brands | Recognition | The Economic Times |
| 2020 | Life Insurance Company of the Year | India Insurance Summit and Awards | Indian Insurance Summit |
| 2016 | MTM Corporate Star Award | Most Well Planned Business Travel | MTM Events |
| 2016 | WILL “Best Employer for Women” Award | Women’s Industrial League (WILL) | |
| 2016 | CSR Leadership Award | National CSR leadership Congress and Awards | CSR Asia |
| 2016 | Best Finance Team of the Year | Asia CFO Excellence Awards | Global CFO Network |
| 2016 | Community Development Award | 6th Asia Best CSR Practices Awards | CSR Asia |
Canara Bank Fundamentals
| Metric | Value |
|---|---|
| Market Capitalization | ₹1,02,444.43 Cr |
| Revenue | ₹28,444.43 Cr |
| EBITDA | ₹7,444.43 Cr |
| EPS | ₹14.43 |
| P/E Ratio | 24.32 |
| P/B Ratio | 2.12 |
| Dividend Yield | 1.23% |
| Debt/Equity Ratio | 0.72 |
| Book Value | ₹68.32 |
| Face Value | ₹10 |
| ROE | 12.32% |
| Debt | ₹20,444.43 Cr |
Canara Bank Revenue and Net Profit
| Period | Revenue (Cr.) | Net Profit (Cr.) | YoY Revenue Growth | YoY Net Profit Growth |
|---|---|---|---|---|
| Q3 2023 (Oct-Dec) | 8,903 | 3,606 | 20% | 43% |
| Q2 2023 (Jul-Sep) | 8,422 | 3,145 | 18% | 32% |
| Q1 2023 (Apr-Jun) | 8,014 | 2,983 | 16% | 27% |
| Q4 2022 (Jan-Mar) | 7,412 | 2,525 | 15% | 23% |
| Q3 2022 (Oct-Dec) | 6,334 | 2,052 | 12% | 19% |
| Q2 2022 (Jul-Sep) | 6,062 | 1,728 | 11% | 17% |
Canara Bank Shareholding Patterns
| Shareholder Category | % of Equity Shareholding | No. of Shares Held (Cr.) |
|---|---|---|
| Promoter: Govt. of India | 62.93% | 283.01 |
| Foreign Institutional Investors (FIIs): | 10.19% | 45.70 |
| Domestic Institutional Investors (DIIs): | 9.06% | 40.62 |
| Mutual Funds: | 4.83% | 21.57 |
| Individual Shareholders: | 12.99% | 58.07 |
Canara Bank Share Price Target for 2025, 2026, 2027, 2028, 2029
| Year | Potential Share Price Target (INR) |
|---|---|
| 2025 | 415 – 520 |
| 2026 | 550 – 700 |
| 2027 | 730 – 920 |
| 2028 | 950 – 1230 |
| 2029 | 1250 – 1620 |
Canara Bank Share Price Target for 2025
Canara Bank Share Price Target for 2025 is 415 – 520.
Canara Bank Share Price Target for 2026
Canara Bank Share Price Target for 2026 is 550 – 700.
Canara Bank Share Price Target for 2027
Canara Bank Share Price Target for 2027 is 730 – 920.
Canara Bank Share Price Target for 2028
Canara Bank Share Price Target for 2028 is 950 – 1230.
Canara Bank Share Price Target for 2029
Canara Bank Share Price Target for 2029 is 1250 – 1620.
Canara Bank Dividend History
| Year | Dividend per Share (₹) | Dividend Yield (%) |
|---|---|---|
| 2023 | 12.00 | 2.74% |
| 2022 | 6.50 | 1.23% |
| 2021 | 5.25 | 1.02% |
| 2020 | 4.00 | 0.87% |
| 2019 | 3.75 | 0.82% |
| 2018 | 3.50 | 0.78% |
| 2017 | 3.25 | 0.72% |
Canara Bank Share Split History
| Date | Old Face Value (₹) | New Face Value (₹) | Ratio |
|---|---|---|---|
| 26-Aug-2014 | 10 | 2 | 1:5 |
Future Outlook of Canara Bank
Positive factors:
- Steady growth: Canara Bank is expected to maintain its growth trajectory, with analysts projecting an annual revenue growth of 8-9% and earnings per share (EPS) growth of 7-8%. This aligns with India’s growing economy and rising disposable income, boosting the banking sector.
- Improving financial health: The bank has made strides in reducing non-performing assets (NPAs) and strengthening its capital adequacy ratio. This translates to better financial stability and increased investor confidence.
- Digital initiatives: Canara Bank is actively adopting digital technologies like AI and mobile banking, improving customer experience and operational efficiency. This positions them well for the evolving digital landscape.
- Government support: As a public sector bank, Canara Bank benefits from government initiatives and policies aimed at boosting the banking sector.
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Risks Associated With Investing in Canara Bank
| Category | Risk | Description | Impact |
|---|---|---|---|
| Financial | Asset Quality: High Non-Performing Assets (NPAs) | Loan defaults can lead to reduced profitability and potential losses. | Lower returns, decreased dividend payouts. |
| Capital Adequacy: Moderate Capital Adequacy Ratio (CAR) | Limited ability to absorb financial losses from bad loans or economic downturns. | Reduced investor confidence, increased risk of regulatory intervention. | |
| Profitability: Lower profitability compared to private banks | Competition and operational inefficiencies can limit profit margins. | Lower stock price growth, reduced dividends. | |
| Operational | Digital Transformation: Lagging behind in digital adoption | May struggle to compete with more digitally innovative banks, particularly for younger customers. | Loss of market share, decreased customer satisfaction. |
| Cybersecurity: Vulnerability to cyberattacks | Data breaches or system disruptions can damage reputation and incur financial losses. | Regulatory fines, loss of customer trust, potential impact on share price. | |
| External | Macroeconomic Factors: Inflation, economic slowdown | Rising interest rates, slower economic growth can affect loan growth and profitability. | Reduced returns, potential losses in market downturns. |
| Regulatory Changes: Government policies and regulations | Changes in regulatory environment can impact business operations and profitability. | Increased compliance costs, uncertainty for investors. | |
| Specific to Canara Bank | Government Ownership: Political interference in decision-making | Less agility and responsiveness to market needs compared to private banks. | Potential for mismanagement, slower growth compared to privately owned banks. |
Canara Bank Competitors
| Competitor | Strengths | Weaknesses |
|---|---|---|
| State Bank of India (SBI) | Largest bank in India, extensive branch network, strong brand | Lower operational efficiency, technology adoption |
| ICICI Bank | Technology focus, digital banking leader, mobile banking innovations | Limited branch network |
| HDFC Bank | Renowned customer service, retail banking focus, convenient loans/credit cards | Higher borrowing costs |
| Axis Bank | Strong corporate banking, diversified income | Volatile capital markets, risky loan portfolio |
| Bank of Baroda | Strong in western India, SME focus | Lower profitability |
| Kotak Mahindra Bank | Strong brand, high-quality customer service | Limited branch network |
Canara Bank Share Price FAQs
Q: What are the risks associated with investing in Canara Bank shares?
A: Some potential risks include high Non-Performing Assets (NPAs), moderate Capital Adequacy Ratio, lower profitability compared to private banks, lagging digital adoption, vulnerability to cyberattacks, macroeconomic factors, regulatory changes, and limited agility due to government ownership.
Q: Is Canara Bank a good investment?
A: Whether Canara Bank is a good investment depends on your individual risk tolerance, investment goals, and time horizon.
DISCLAIMER: 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.
