IndusInd Bank Limited (INDUSINDBK)
Large CapFinancial Services stocks · Large cap · NSE
IndusInd Bank is India's 5th largest private bank, offering universal banking services. It serves 42M customers via 9,413 touch points, with a 3.26T loan book and 4.14T deposits. The bank maintains strong asset quality (GNPA 3.25%, NNPA 0.95%) and capital adequacy (CRAR 17.15%).
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust needs verification, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Bad · 25/100Rev -8% YoY · PAT +72% YoY · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹11,310 Cr | -7.8% | +2.8% |
| EBITDA | NDF | NDF | NDF |
| Operating margin | NDF | NDF | NDF |
| PAT | ₹1,037 Cr | +71.7% | +74.6% |
| PAT margin | 9.2% | +425 bps | +377 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
IndusInd Bank reported Q1FY27 net profit of 1,037crs, up 72% YoY and 75% QoQ, driven by 21% QoQ operating profit growth. Asset quality improved with GNPA at 3.25% and NNPA at 0.95%. NIM (ex-one-offs) was 3.35%, down YoY and QoQ. Loan book grew 3% QoQ, led by wholesale.
Strong net profit growth and improving asset quality are positive. However, the decline in retail & SME loans QoQ and the YoY decline in overall loans warrant close monitoring. NIM compression is also a concern. The stated pivot to growth needs to show broad-based loan expansion.
Loan Book Composition by Segment (End of Period)
Latest issuer-disclosed distribution across 3 reported categories.
Retailisation of Deposits
Average Retail Deposits increased 4% QoQ, with Retail Deposit share reaching 49.5% vs 47.9% QoQ, driven by 'One Bank' approach, digital enablers, and rural/semi-urban distribution.
Wholesale Banking Growth
Average Wholesale Loans increased 7% QoQ, supported by focus on risk-adjusted returns, primary banker relationships with corporates, and deep domain presence.
Digital Banking Adoption
Monthly Active Users on INDIE app exceeded 2.6Mn+, with 1.5Mn+ UPI transactions. INDIE for Business app has 390K+ MAU, facilitating significant digital acquisitions.
AI Integration
12,000+ employees trained in AI; AI platforms support 15,000+ monthly users. 50+ ML models evaluate ~0.5mn loans monthly and monitor ~42mn customers.
Moderation in Stress Pools
The bank observed continued moderation in stress pools with lower slippages in Q1FY27.
Improving Cost of Funds
Cost of Deposits decreased by 12bps QoQ and 49bps YoY to 5.95%. Cost of Funds decreased by 9bps QoQ and 64bps YoY to 5.05%.
Digital Adoption & Efficiency
Strong digital adoption with 2.6Mn+ MAU on INDIE app and 390K+ on INDIE for Business, enhancing customer engagement and operational efficiency.
Decline in Retail & SME Loans
Average Retail & SME Loans decreased 1% QoQ, indicating a slowdown in these key growth segments.
Overall Loan Book Contraction YoY
The overall loan book decreased by 2% YoY, despite a 3% QoQ growth, suggesting a longer-term challenge in loan expansion.
NIM Compression
Net Interest Margins (excluding one-offs) declined to 3.35% from 3.39% QoQ and 3.46% YoY.
Decline in Other Income
Total Other Income decreased by 17% YoY to 1,787crs, impacting overall revenue growth.
Asset Quality in Micro Loans
Micro Loan book saw (43)% YoY and (13)% QoQ decline in disbursements, with significant write-offs and gross slippages in Q1FY27.
Wholesale Loan Concentration
Wholesale banking constitutes 37% of the loan book, with NBFCs, Real Estate, and Power sectors being notable exposures, requiring careful monitoring.
SME Loan Book Decline
SME loan book decreased (5)% YoY and (2)% QoQ, indicating potential stress or reduced demand in this segment.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Financial services performance is influenced by both seasonal factors (e.g., loan demand, festival season impact) and sequential momentum (e.g., asset quality trends, interest rate changes, disbursement pace). Therefore, both YoY and QoQ comparisons are crucial for a comprehensive understanding.
AUM Growth (Loans)
Loans at 3,26,274crs, (2)% YoY and 3% QoQ. Average total loans increased 3% QoQ, while average Retail & SME loans decreased 1% QoQ.
Disbursements
Vehicle Finance disbursements were 10,832crs, down (14)% YoY and (4)% QoQ. Micro Loan disbursements were 5,226crs, down (43)% YoY and (13)% QoQ.
Net Interest Margin (NIM)
Net Interest Margins (excluding one-offs) stood at 3.35% in Q1FY27, compared to 3.46% YoY and 3.39% QoQ.
Borrowing Cost
Cost of Deposits was 5.95% in Q1FY27, down 12bps QoQ and 49bps YoY. Cost of Funds was 5.05%, down 9bps QoQ and 64bps YoY.
Growth Pivot
Management states a 'pivot towards growth from consolidation' as a key highlight for Q1FY27.
AI-Powered Banking
Focus on building an AI-powered bank, with 12,000+ employees trained and AI platforms supporting loan evaluation and customer monitoring.
Retail Deposit Focus
Continued emphasis on building a granular and cost-efficient liabilities franchise through process enhancement, differentiated products, and digital enablers.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Overall Loan Growth | (2)% YoY, 3% QoQ | Sustained broad-based loan growth, particularly in Retail and SME segments. |
| Net Interest Margin (NIM) | 3.35% (ex-one-offs) | Stabilization and improvement in NIM, indicating better asset yield or lower funding costs. |
| Asset Quality Trends | GNPA 3.25%, NNPA 0.95% | Continued moderation in stress pools and slippages across all segments, especially Micro Loans. |
| Retail & SME Loan Growth | Avg Retail & SME Loans 1% QoQ | Reversal of the QoQ decline and positive growth in these strategically important segments. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
54NeutralMACD −
Technical chart
INDUSINDBKdaily · 1Y · AUTO+7.6%Daily technical trend read
NeutralTrend is undirectional — long-term uptrend intact. RSI 51.
- Price above SMA200 (long-term uptrend) but mid-term MAs not aligned.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 51 — rising, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 6% off 52W high · 42% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is 8.9% above the 30-week proxy.
- The 50-DMA is above the 30-week proxy and its slope is rising +1.4%.
- Both 3-month and 6-month returns are positive.
Valuation & score drivers
U-Score 9 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 9 · OVERVALUED · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
OVERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Cash flow contributes 4/10 to the score.
- Growth contributes 3/25 to the score.
- Valuation contributes 1/30 to the score.
Main drags
- Altman Z is 1.6, in distress territory.
- Promoter pledge is 42.8%.
- Fair-value margin of safety is negative at -2495.2%.
Bank valuation: P/B adjusted for ROE and asset quality
Banks are balance-sheet businesses, so book value quality matters more than simple earnings multiples.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Weak Trust: Claim history is still being built. It ranks around the 2nd percentile of the scored universe and 2nd percentile within Financial Services. Main check: results consistency is weak at 15/100.
Mixed Trust Lite: FCF yield is positive at 0.6%. Key concern: Promoters have pledged 42.8% of holding.
Management or financial behaviour needs caution. Demand stronger valuation compensation.
overall median 67 · Financial Services: 2nd pctile, median 62 · Large: 1st pctile, median 73
155 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Weak Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸FCF yield is positive at 0.6%.
- ▸5 years of positive FCF.
Trust risks
- ▸Promoters have pledged 42.8% of holding.
- ▸Altman Z is 1.63.
- ▸3 latest quarters had PAT decline worse than 25% YoY.
- ▸Promoter holding is only 15.8%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 59.40
- P/B
- 1.19
- EV/EBITDA
- —
- Market Cap
- 78576.00Cr
Profitability
- ROE
- 1.36%
- ROCE
- 5.68%
- ROA
- 0.24%
- Dividend Y
- 0.15%
Growth (CAGR)
- Revenue 5Y
- 10.00%
- EPS 5Y
- -21.00%
- Revenue 3Y
- 8.00%
- EPS 3Y
- -51.00%
Balance Sheet
- Debt/Equity
- 0.11
- Interest Coverage
- —
- Altman Z
- 1.63
- Book Value
- 844.00
Cash Flow
- FCF Yield
- 0.60%
- FCF Positive Y
- 5/5
- OCF
- 993.00 Cr
- EPS TTM
- 16.97
Shareholding
- Promoter Hold
- 15.82%
- Promoter Pledge
- 42.80%
- Momentum 52W
- 81%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.