banking

AU Small Finance Bank

AUBANK · Nifty 50

1,020.85

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

Sector Positionbanking sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score92/100 (STRONG). 0 positive flags, 2 concerns.
Historical Context50 similar technical setups. Average outcome: -9.0% decline. 0% positive.
Bank HealthROA 1.35% · PB 3.8 · Asset growth 21.5%.

Fundamental

92/100

STRONG

Trust

90/100

Verification

Coverage

44/100

LIMITED

Quick Take

AU Small Finance Bank scores 92/100 on fundamentals (strong). AU Small Finance Bank: BROAD EXPANSION regime.

Fundamental Score: 92/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 12.9% broken into three drivers. Each shows how efficiently the company generates returns.

ROE12.9%=
21.4%Net Margin
×
0.1xTurnover
×
9.6xLeverage

ROE of 12.93% is moderate leverage-driven and stable. Net margin of 21.4% × asset turnover of 0.06x × leverage of 9.6x. High leverage amplifies returns but increases risk. Low asset turnover is normal for banks.

What This Means

Net margin of 21.4% means the company keeps ₹21.4 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.06x means the company generates ₹0.06 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 9.6x means the company uses significant debt. Higher leverage amplifies returns but also risk.

Margin Structure

Gross

100.0%

Operating

%

Net

21.4%

improving

Financial Health

Peer Comparison

AU Small Finance Bank is compared against 10 peers in the banking sector.

Bank Metrics

Return on Assets

1.35%

Benchmark: >1%

Efficiency Ratio

78.6%

Lower is better

Asset Growth

+21.5%

Year over year

PB Ratio

3.8x

Price to book

ROA of 1.35% is strong (benchmark: >1% for banks). Strong asset utilization. P/B of 3.8x — trading above book. Premium valuation — market pricing in high growth expectations.

Key Watchpoints

🟢

Breaks above ₹1072 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹970 (-5%)

Further downside risk

🟢

Banking sector entering leadership

Sector rotation signal

Detected Patterns

✅ Strong ROA: ROA of 1.35% — above 1% benchmark for banks
✅ Strong Loan Book Growth: Assets growing 21.5% — loan book expansion

Risk Flags

⚠️ 2 Warning2 total flags
⚠️Working capital changes are 174% of operating cash flow
Cash Flow

Working capital is consuming significant cash. Operational efficiency declining.

⚠️Price/Sales: 72.3x — expensive on revenue basis
Valuation

High revenue multiple. Market pricing in significant growth or margins expansion.

➡️ 2 flags — 0 positive, 2 warning. Mixed profile.

Data Quality

90/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)
⚠️ Our margin analysis (improving) contradicts news reports of margin pressure — investigate

50 articles scanned for fundamental themes

Facts

P/E Ratio
29.0UNAVAILABLE
P/B Ratio
3.8HIGH
Market Cap
₹7599583.4L CrHIGH
From 52W High
95% of high
Sector Peers
10
AU Small Finance Bank Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight