Canara Bank (CANBK) Fair Value & Analysis
Financial Services · IN · Market cap ₹1.1T (≈ $12.2B) · ISIN INE476A01014
What is Canara Bank really worth?
Below-average quality, trading 46% below our fair value of ₹232.03.
Strengths
Risks
For context
Fair value as of: Sep 5, 2026
From 6 valuation models · updated today
Share price −2.6% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The large discount to fair value meets weak quality (29/100). That raises the risk this is a value trap rather than a bargain.
- The price is below even our cautious bear case (₹174.03). The market is more pessimistic than our downside scenario.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 5, 2026.
How to read this chart
60‑month range ₹24.25 – ₹153.85 · fair‑value band ₹174.03 – ₹290.04 · the ₹125.50 price screens below the ₹232.03 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). 1 fiscal year is left out: there the valuation rested on only a fraction of the usual models. Dashed = 300-day average. As of Sep 5, 2026.
Analysis
Canara Bank (CANBK) currently trades at ₹125.50, while our model-based Fair Value estimate is ₹232.03, implying the stock looks roughly 45.9% undervalued today. The Quality Score stands at 29/100 (below-average quality), in the Financial Services sector. Bull case: the Economic Profit group reads highest at a median of ₹202.32 per share, and 3 of the 6 models we run sit above the ₹125.50 price. Bear case: the Dividend Discount group reads lowest at ₹68.81, and 3 of the 6 models stay below the price. Evidence for this calculation is medium.
Revenue declined 46.7% year over year. It earns a return on equity of 15.9%. The balance sheet holds a net cash position of ₹510B. The stock trades on a trailing P/E of 5.8. Fundamentals as of Sep 5, 2026
Our scenario range runs from ₹174.03 (bear case) to ₹290.04 (bull case); at ₹125.50, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 23% below its 52-week high and 21% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at 85%, CANBK screens cheaper than that median.
Fair Value models
This estimate rests on fiscal year 2026 figures, and about 5 months have passed since. In that time the company retained roughly ₹7.59 per share, which is 3.3 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 6 models by family
Widest divergence: Economic Profit (₹202.32) versus Dividend Discount (₹68.81). Highest evidence: DDM Multi-Stage (66).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Sep 5, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 30 · Market factors (momentum, volatility) 58
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Canara Bank provides various banking products and services in India and internationally. The company offers deposits and accounts, such as savings accounts, current accounts, recurring deposits, and term deposits; unclaimed deposits; loan products, including home, vehicle, education, personal, mortgage, gold, MSME, agri, and solar loans; life, general, and …
Full company description
Canara Bank provides various banking products and services in India and internationally. The company offers deposits and accounts, such as savings accounts, current accounts, recurring deposits, and term deposits; unclaimed deposits; loan products, including home, vehicle, education, personal, mortgage, gold, MSME, agri, and solar loans; life, general, and health insurance products; corporate loans comprising working capital, infrastructure, and export finance products, as well as term loans; depository services, merchant banking, and online trading services; and mutual funds. The company also provides digital lending portal; mobile and internet banking; credit, debit, and prepaid cards; UPI and fastag; missed call banking; online account opening services; and payment solutions; NRI banking accounts; remittance facilities; attorneyship service; and nomination facility. In addition, it offers supply chain finance management; syndication services; IPO monitoring services; locker services; doorstep banking services; and consultancy services, which includes estate and wills, private and charitable religious trustee, debenture and security trusteeship, and attorney services. Further, the company offers government business products. Canara Bank was incorporated in 1906 and is headquartered in Bengaluru, India.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Canara Bank reported revenue of ₹1.5T in FY2026 versus ₹928B in FY2022, a compound +13.3%/yr. Reported net income was ₹197B in FY2026, compounding +33.9%/yr from FY2022.
of which total revenue +13.1 % · buybacks/dilution −5.8 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
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Peer Group
Banks - Regional · 1071 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Banks - Regional median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Sep 5, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| DBS Group D05 | 75.65 SGD | 40.48 SGD | −46% |
| China Merchants Bank Co 3968 | HK$47.96 | HK$76.51 | +60% |
| Intesa Sanpaolo S.p.A ISP | €6.78 | €5.66 | −17% |
| HDFC Bank Limited HDB | $23.17 | $24.12 | +4% |
| BNP Paribas SA BNP | €102.56 | €144.64 | +41% |
| UniCredit S.p.A UCG | €84.71 | €77.62 | −8% |
| Mizuho Financial Group MFG | $10.74 | $9.69 | −10% |
| ICICI Bank Limited ICICIBANK | ₹1,443 | ₹835.21 | −42% |
| Oversea-Chinese Banking Corporation O39 | 31.07 SGD | 19.80 SGD | −36% |
| CaixaBank, S.A CABK | €13.52 | €8.85 | −35% |
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