Ujjivan Small Finance Bank Limited is a mass market focused bank in India, catering to financially unserved and under-served segments and committed to building financial inclusion in the country. Established in February 2017, the bank is a subsidiary of Ujjivan Financial Services Limited (UFSL), a prominent non-banking financial company (NBFC) with a proven track record of serving the underserved segments of the Indian population.
Ujjivan Small Finance Bank Ltd Overview
| Feature | Description |
|---|---|
| Established | February 2017 |
| Subsidiary of | Ujjivan Financial Services Limited (UFSL) |
| Mission | Empower millions of individuals through access to financial services |
| Vision | Emerge as a leading player in financial inclusion |
| Products and Services | Savings Accounts, Term Deposits, Loans, Cards, E-Auctions, Life Events Based Banking, Retail Forex and Trade, Sampoorna Family Banking, Third-Party Products (Insurance) |
| Commitment to Financial Inclusion | Bridging the gap in financial inclusion by expanding access to affordable and reliable financial services to underserved communities |
| Technology Adoption | Digital-first approach, leveraging digital platforms and mobile banking applications |
| Customer Centricity | Understanding the unique needs and aspirations of customers, tailoring products and services to address their specific requirements |
| Expansion and Growth | Strategic expansion plan, aiming to reach a wider customer base across the country |
| Sustainable Banking Practices | Responsible and sustainable banking practices, prioritizing environmental and social considerations |
Ujjivan Small Finance Bank Ltd Products
| Product Category | Product | Description |
|---|---|---|
| Savings Accounts | Regular Savings Account | A convenient savings account with competitive interest rates and multiple banking options. |
| Savings Accounts | Ujjivan Suraksha Deposit | A special savings account designed for women, offering enhanced interest rates and insurance benefits. |
| Savings Accounts | Ujjivan Bachat Mitra | A savings account tailored for children, inculcating savings habits from an early age. |
| Term Deposits | Fixed Deposits | Fixed deposit options with various tenures and attractive interest rates, providing customers with a secure investment avenue. |
| Loans | Ujjivan Micro Loan | A micro-loan product designed to support small businesses and entrepreneurs. |
| Loans | Ujjivan Agri Loan | A loan product catering to the needs of farmers, providing financial assistance for agricultural activities. |
| Loans | Ujjivan Education Loan | A loan product to support students pursuing higher education. |
| Loans | Ujjivan Personal Loan | A personal loan product for various purposes, such as medical emergencies, home renovations, or travel expenses. |
| Cards | Ujjivan Debit Card | A convenient debit card for everyday transactions and ATM withdrawals. |
| Cards | Ujjivan Credit Card | A credit card offering rewards and benefits, along with flexible repayment options. |
| E-Auctions | Ujjivan e-Auctions | An online platform for bidding on various assets, including cars, machinery, and properties. |
| Life Events Based Banking | Ujjivan Wedding Loan | A loan product to support wedding expenses. |
| Life Events Based Banking | Ujjivan Education Loan | A loan product to support education expenses for children. |
| Life Events Based Banking | Ujjivan Home Loan | A loan product for home purchase or construction. |
| Retail Forex and Trade | Ujjivan Foreign Exchange | Services for foreign currency exchange, remittances, and travel-related transactions. |
| Sampoorna Family Banking | Ujjivan Sampoorna Family Banking | A comprehensive financial management solution for families, including joint accounts, multiple financial products, and personalized financial planning. |
| Third-Party Products (Insurance) | Ujjivan Suraksha Bima | A life insurance product providing financial protection for the family. |
| Third-Party Products (Insurance) | Ujjivan Health Insurance | A health insurance product covering medical expenses and hospitalization costs. |
Ujjivan Small Finance Bank Ltd Awards and Recognition
| Year | Award | Category |
|---|---|---|
| 2023 | Great Place to Work® Institute India’s Best Employers 2023 | Small & Medium Large Enterprises (500-999 Employees) |
| 2023 | Business Today’s ‘India’s Best Companies to Work For’ 2023 | Small Finance Banks |
| 2022 | ASSOCHAM’s 13th Annual Excellence Awards 2022 | Best Digital Financial Inclusion Initiatives |
| 2022 | ASSOCHAM’s 13th Annual Excellence Awards 2022 | Best Technology Bank of the Year |
| 2021 | IBA’s 16th Annual Banking Technology Award 2021 | Best Digital Financial Inclusion Initiatives |
| 2021 | IBA’s 16th Annual Banking Technology Award 2021 | First Runner Up: Best Technology Bank of the Year |
| 2019 | ASSOCHAM’s 10th Annual India’s Banking & Financial Institutions Awards 2019 | Best Microfinance Bank – North |
| 2018 | Great Place to Work® Institute India’s Best Companies to Work For 2018 | Rank 19 |
| 2018 | Great Place to Work® Institute India’s Best Workplaces in Small Finance Banks 2018 | Category Winner |
| 2017 | ASSOCHAM’s 8th Annual India’s Banking & Financial Institutions Awards 2017 | Best Microfinance Bank of the Year |
Ujjivan Small Finance Bank Ltd Fundamentals
| Financial Metric | Value |
|---|---|
| Market Capitalization (In Cr) | 4,758.46 |
| Revenue (In Cr) | 6,701.28 |
| EBITDA (In Cr) | 2,287.74 |
| EPS (In Rs) | 33.72 |
| P/E Ratio | 8.54 |
| P/B Ratio | 2.20 |
| Dividend Yield (%) | 2.74 |
| Debt/Equity Ratio | 3.71 |
| Book Value (In Rs) | 153.33 |
| Face Value (In Rs) | 10 |
| ROE (%) | 21.99 |
Ujjivan Small Finance Bank Ltd Revenue and Net Profit
| Financial Year | Revenue (In Cr) | Net Profit (In Cr) |
|---|---|---|
| 2023 | 6,701.28 | 1,100.00 |
| 2022 | 5,954.13 | 935.77 |
| 2021 | 5,116.50 | 731.08 |
| 2020 | 3,116.69 | 439.14 |
| 2019 | 3,026.07 | 385.52 |
Ujjivan Small Finance Bank Ltd Shareholding Patterns
| Shareholder Category | Shareholding Percentage |
|---|---|
| Promoters | 73.66% |
| Retail and Others | 20.04% |
| Foreign Institutions | 3.54% |
| Other Domestic Institutions | 1.62% |
| Mutual Funds | 1.14% |
Ujjivan Small Finance Bank Ltd Share Price Target for 2024, 2025, 2026, 2027, 2028
| Year | Average Share Price Target (₹) | Range of Share Price Targets (₹) |
|---|---|---|
| 2024 | 54.20 – 57.30 | 50.70 – 56.30 |
| 2025 | 59.20 – 60.20 | 58.70 – 60.80 |
| 2026 | 80.30 – 83.50 | 67.90 – 99.70 |
| 2027 | 88.70 | 81.45 – 89.15 |
| 2028 | 109.65 | 91.10 – 128.20 |
Ujjivan Small Finance Bank Ltd Share Price Target for 2024
The share price target for Ujjivan Small Finance Bank Ltd (USFB) in 2024 varies from ₹50.70 to ₹56.30, with an average target of ₹54.20 to ₹57.30.
Ujjivan Small Finance Bank Ltd Share Price Target for 2025
Share price targets for Ujjivan Small Finance Bank Ltd (USFB) for 2025 are typically in the range of ₹58.70 to ₹60.80, with an average target of ₹59.20 to ₹60.20.
Ujjivan Small Finance Bank Ltd Share Price Target for 2026
Share price targets for Ujjivan Small Finance Bank Ltd (USFB) for 2026 range from ₹67.90 to ₹99.70, with an average target of ₹80.30 to ₹83.50.
Ujjivan Small Finance Bank Ltd Share Price Target for 2027
Share price targets for Ujjivan Small Finance Bank Ltd (USFB) for 2027 range from ₹81.45 to ₹89.15, with an average target of ₹88.70.
Ujjivan Small Finance Bank Ltd Share Price Target for 2028
Share price targets for Ujjivan Small Finance Bank Ltd (USFB) for 2028 range from ₹91.10 to ₹128.20, with an average target of ₹109.65.
Ujjivan Small Finance Bank Ltd Dividend History
| Year | Dividend per Share (₹) | Dividend Yield (%) |
|---|---|---|
| 2023 | 5.00 | 2.32 |
| 2022 | 1.25 | 2.28 |
| 2021 | 1.50 | 2.83 |
| 2020 | 0.80 | 1.48 |
| 2019 | 1.50 | 2.74 |
Future Outlook of Ujjivan Small Finance Bank Ltd
Here are some of the key factors that are driving the positive outlook for USFB:
-
Strong Financial Performance: USFB has consistently delivered strong financial performance, with revenue and profit growth outpacing the industry average. The bank’s asset quality is also sound, with non-performing assets (NPAs) below the industry average.
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Expansion Plans: USFB is expanding its branch network and digital presence across India, reaching underserved markets in rural and semi-urban areas. This expansion will help the bank grow its customer base and revenue.
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Focus on Technology: USFB is embracing technology and digital initiatives to enhance its operational efficiency and customer reach. The bank’s digital platforms are gaining popularity among customers, and the use of technology is expected to further improve the bank’s performance.
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Favorable Macroeconomic Environment: The overall macroeconomic environment in India is favorable for banks, with economic growth expected to remain strong in the coming years. This will create opportunities for USFB to expand its lending and deposit base.
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Risks Associated With Investing in Ujjivan Small Finance Bank Ltd
| Risk | Description | Potential Impact |
|---|---|---|
| Credit risk | USFB’s customers are primarily from underserved markets, which may increase the risk of defaults. | Decreases in revenue, increases in NPAs, and reduced profitability |
| Interest rate risk | USFB’s loans are primarily floating rate, which means that its interest income is sensitive to changes in interest rates. | Reduced profitability if interest rates rise |
| Operational risk | USFB is a relatively new bank, which may increase the risk of operational failures. | Reputational damage, financial losses, and regulatory penalties |
| Liquidity risk | USFB’s ability to meet its short-term obligations may be challenged in times of financial stress. | Inability to meet customer withdrawals, increased borrowing costs, and reduced profitability |
| Macroeconomic risk | USFB’s performance is sensitive to the overall macroeconomic environment in India. | Reduced economic growth, increased unemployment, and higher inflation |
Ujjivan Small Finance Bank Ltd Competitors
| Competitor | Description | Strengths | Weaknesses |
|---|---|---|---|
| Au Small Finance Bank | One of the largest small finance banks in India, with a strong presence in rural and semi-urban areas. | Large branch network, strong asset quality, and well-established brand. | Limited exposure to the corporate sector and higher cost of operations. |
| Equitas Small Finance Bank | Another leading small finance bank with a focus on microfinance. | Strong microfinance expertise, large customer base, and wide geographic reach. | Higher reliance on microfinance loans, which carry higher risk. |
| Suryoday Small Finance Bank | A relatively new small finance bank with a focus on the SME sector. | Strong focus on SMEs, growing branch network, and innovative digital platforms. | Limited track record, higher risk profile due to exposure to SMEs. |
| Jana Small Finance Bank | A small finance bank focused on providing financial services to women. | Strong focus on women’s financial inclusion, innovative products and services, and dedicated customer base. | Limited scale compared to larger competitors, higher operating costs. |
| Fincare Small Finance Bank | A small finance bank with a strong presence in southern India. | Strong regional presence, well-established brand, and diversified loan portfolio. | Limited exposure to northern and eastern India, higher cost of operations. |
Ujjivan Small Finance Bank Ltd Share Price FAQs
Q: What is the share price target for USFB in 2024?
A: Share price targets for USFB in 2024 range from ₹50.70 to ₹56.30, with an average target of ₹54.20 to ₹57.30.
Q: What is the share price target for USFB in 2025?
A: Share price targets for USFB in 2025 range from ₹58.70 to ₹60.80, with an average target of ₹59.20 to ₹60.20.
Q: What is the share price target for USFB in 2026?
A: Share price targets for USFB in 2026 range from ₹67.90 to ₹99.70, with an average target of ₹80.30 to ₹83.50.
Q: What is the share price target for USFB in 2027?
A: The average share price target for USFB in 2027 is ₹88.70.
Q: What is the share price target for USFB in 2028?
A: The average share price target for USFB in 2028 is ₹109.65.
DISCLAMER: We are not registered financial advisors. 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.
