Financial Services · NSE/BSE: UNIONBANK
Union Bank of India
Public Sector Bank
Market Cap ₹1.32L Cr
Verdict: Average
Quality Scores
Multi-Bagger
74/100
Compounder Quality
76/100
Management Credibility
88/100
Governance
70/100
Cash Flow Quality
65/100
AI Summary
Union Bank of India (UBI) has undergone a significant transformation from a loss-making entity during the FY18-FY20 NPA crisis to a highly profitable Public Sector Bank (PSB) in FY24-FY26. The merger with Corporation Bank and Andhra Bank in 2020 vastly expanded its balance sheet, which is now yielding results through economies of scale and improved asset quality. Current profitability is at decadal highs with Net Profit reaching ₹19,430 Cr in FY26. However, as a state-owned enterprise, it remains sensitive to government mandates and broader credit cycles. The stock trades attractively at a…
Top Opportunities
- Significant PAT recovery from FY20 losses
- Robust ROE improvement to 16-17%
- Trading below Book Value (0.97x)
Top Risks
- Massive contingent liabilities (6.06 Lakh Cr)
- Negative CFO in latest fiscal year (-35,798 Cr)
- Stagnant 10-year stock price CAGR (3%)
Latest report: Read the annual report summary →
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