EN DE

IDFC First Bank Limited (IDFCFIRSTB) Fair Value & Analysis

Financial Services · IN · Market cap ₹696B (≈ $7.4B) · ISIN INE092T01019

What is IDFC First Bank Limited really worth?

IF IDFC First Bank Limited IDFCFIRSTB · NSE
Price₹86.71
Fair Value₹23.80
Upside−72.6%
Quality31/100

Below-average quality, and trading another 264% above our fair value of ₹23.80.

Watch IDFC First Bank Limited for free, get notified when fair value or trend changes. Plus fair value for all 35,000+ stocks, 14 days of Pro free, no card. Watch for free

Strengths

Highly profitable · 32.8% net margin
Moderate debt · generates free cash flow

Risks

!Mixed Growth (revenue 5y +20.5 %/yr)
!Trails peers (2/14)
!Moderate moat 59/100
!Evidence only low, so the estimate is less certain
!Weak on past: 15 out of 100
!Weak on dividend: 9 out of 100
Evidence: Low Range ₹17.85 – ₹29.75

Fair value as of: Aug 13, 2026

From 6 valuation models · updated 22 days ago

Share price +1.7% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (₹29.75). The favourable scenario is already priced in.
  • Weak quality (31/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
  • 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)

₹98.88 ₹29.05 Fair Value ₹23.80 May 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.

How to read this chart

60‑month range ₹29.05 – ₹98.88 · fair‑value band ₹17.85 – ₹29.75 · the ₹86.71 price screens above the ₹23.80 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 Aug 13, 2026.

Full chart & analysis →

Which stocks are undervalued right now? Check free Discover now →

Analysis

IDFC First Bank Limited (IDFCFIRSTB) currently trades at ₹86.71, while our model-based Fair Value estimate is ₹23.80, implying the stock looks roughly 264.3% overvalued today. The Quality Score stands at 31/100 (below-average quality), in the Financial Services sector. Bull case: the Economic Profit group reads highest at a median of ₹40.04 per share, and 0 of the 6 models we run sit above the ₹86.71 price. Bear case: the Dividend Discount group reads lowest at ₹5.91, and 6 of the 6 models stay below the price. Evidence for this calculation is low.

Revenue declined 1.1% year over year. It earns a return on equity of 3.7%. Net debt stands at ₹239B. The stock trades on a trailing P/E of 45.2. Fundamentals as of Aug 13, 2026

Our scenario range runs from ₹17.85 (bear case) to ₹29.75 (bull case); at ₹86.71, the current price sits above 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 near its 52-week high and 49% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at −73%, IDFCFIRSTB screens richer 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 ₹0.8138 per share, which is 3.4 % 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.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income best evidence ₹40.85 ₹40.04 ₹35.25 76
DDM Multi-Stage ₹3.30 ₹5.91 ₹7.51 66
Gordon GGM ₹3.30 ₹7.21 ₹12.13 65
All 6 models by family
Dividend Discount
Gordon GGM ₹3.30 ₹7.21 ₹12.13 65
DDM Multi-Stage ₹3.30 ₹5.91 ₹7.51 66
Multiples
P/E Multiple ₹18.23 ₹24.30 ₹30.38 63
P/B Multiple ₹23.84 ₹31.78 ₹39.73 55
Asset-Based
NCAV (Graham) ₹27.51 ₹36.87 ₹55.03 54
Economic Profit
Residual Income best evidence ₹40.85 ₹40.04 ₹35.25 76

Widest divergence: Economic Profit (₹40.04) versus Dividend Discount (₹5.91). Highest evidence: Residual Income (76).

Notify me when IDFCFIRSTB reaches fair value

Put IDFCFIRSTB on your watchlist. We get in touch as soon as price and fair value meet or the trend turns.

Set up alert →

Free, no payment details. Unsubscribe anytime in one click.

Key figures & financial health

P/E ratio 45.2
P/S ratio 1.50 P/E × margin
EPS (TTM) ₹1.92 price ÷ EPS = P/E 45.2
Dividend yield 0.5% payout 21.4%
Net margin 3.3% FY2026
Return on equity 3.7% TTM
More key figures
Profitability
Return on assets (EBIT) 0.8% avg 5y
Operating margin 33.4% TTM
Growth
Revenue growth (YoY) −1.1% 3y avg +21.1%
EPS growth (YoY) −23.2%
Balance sheet & cash flow
Free cash flow ₹60.4B FY2026
Net debt ₹239B FY2026 · ≈ 4.0 yrs of FCF

Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 31/100

Of which business quality 32 · Market factors (momentum, volatility) 73

Profitability 17
Margins and returns on capital today
Quality Growth 48
Are margins and returns improving?
Cashflow 76
Earnings quality: real cash, not paper profit
Fin. Strength 11
Balance sheet, leverage, solvency risk
Investment 36
Disciplined investing over empire-building
Low Volatility 82
Calm price path (market factor)
Momentum 64
Price trend over the last 3–12 months (market factor)
52W Momentum 77
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

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

IDFC First Bank Limited provides various banking and financial services in India. It operates through the Treasury, Corporate and Wholesale Banking, Retail Banking, and Other Banking Business segments.

Full company description

IDFC First Bank Limited provides various banking and financial services in India. It operates through the Treasury, Corporate and Wholesale Banking, Retail Banking, and Other Banking Business segments. The company offers treasury and forex solutions, including correspondent banking, FX, cross-border swift, government bonds and strips, liberalized remittance scheme, and external commercial borrowing solutions, as well as treasury solutions comprising forwards, options, and swaps. It also provides retail lending solutions, such as home loans, vehicle loans, consumer loans, education loans, personal loans, used car loans, gold loans, rural finance, and tractor finance; SME lending solutions that consist of loan against property, business banking, working capital loans, commercial vehicle loans, micro enterprise loans, trade advance, and startup banking; CASA and fixed deposits, which include current accounts, savings accounts, fixed deposits, nostro/vostro accounts, overdrafts, corporate salary accounts, accounts for ONDC, and escrow account; and NRI Banking that comprises NRE accounts, NRO accounts, seafarer accounts, FCNR deposits, and NRE/NRO deposits. In addition, the company offers wealth management and distribution solutions, including distribution of life insurance, general insurance, credit shield, health insurance, mutual funds, and AIFs; credit cards; and FASTag, such as tag issuer, toll acquirer, toll, parking, and fuel solutions. Further, it provides trade finance solutions that consist of letters of credit and discounting, bank guarantee, buyer's credit/SBLC, parking credit in foreign currency and INR, remittances, and pre and post shipment finance; supply chain financing; and transaction banking and CMS solutions. The company was formerly known as IDFC Bank Limited and changed its name to IDFC First Bank Limited in January 2019. IDFC First Bank Limited was founded in 1997 and is headquartered in Mumbai, India.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

IDFC First Bank Limited reported revenue of ₹484B in FY2026 versus ₹208B in FY2022, a compound +23.6%/yr. Reported net income was ₹16.1B in FY2026, compounding +86.8%/yr from FY2022. FY2022 was a trough year, so the rate overstates the trend.

Growth Quality 86/100
Revenue is growing, but margins or cash flow do not fully confirm the trend.
Latest Revenue (FY 2026)
₹484B
Latest YoY
+11.0%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+21.1%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+20.5%
Avg. revenue growth/yr (10Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+28.2%
Value creation/yr (5Y, in INR) Earnings growth per share (CAGR 5 years) plus dividend yield: value created per share and year. Measured in INR: this currency has depreciated against the euro and dollar over the long run, so part of the nominal rate is currency erosion that never reaches a EUR/USD investor.
+28.9% (28.4 + 0.5)
Revenue +23.6%/yr
FY22 ₹208B
FY23 ₹273B
FY24 ₹363B
FY25 ₹436B
FY26 ₹484B
Net income +86.8%/yr
FY22 ₹1.3B
FY23 ₹24.8B
FY24 ₹29.4B
FY25 ₹14.9B
FY26 ₹16.1B
Character of growth · EPS growth decomposed (2016-2026) +1.7 % p.a.
Revenue per share +11.7 %

of which total revenue +26.2 % · buybacks/dilution −11.5 %

EBIT margin −8.6 %
Tax rate +2.7 %
Residual (interest, one-offs) −3.1 %

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).

IDFCFIRSTB screens 264% overvalued. Compare with DBS Group →

Share or link this analysis
𝕏 Post WhatsApp LinkedIn Reddit
For bloggers & editors: embed code + live data

For bloggers, editors and developers: paste this into your site or blog (a “Custom HTML” block in WordPress), it shows the current fair value and links back here. Free, plain HTML, and welcome. Full data streams (CSV/JSON) at /developers.

Cite: Fair Value Calculator (2026). "IDFC First Bank Limited Fair Value". https://www.fairvalue-calculator.com/stock/IDFCFIRSTB

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.

Quality Score 32 · Bottom 25%
Fair Value upside −73% · Bottom 25%
Return on equity (TTM) 4% · Bottom 25%
Return on assets 0% · Bottom 25%
Net margin (TTM) 33% · Above median
Operating margin (TTM) 33% · Below median
Revenue growth −1% · Bottom 25%
Dividend yield (TTM) 0.5% · Bottom 25%
Debt / equity 0.82× · Higher than 75% of peers

Valuation Multiples vs Banks - Regional median · lower = cheaper

P/E (TTM) 45.2× · Pricier than 75% of peers
P/B 1.47× · Pricier than 75% of peers
P/S (TTM) 23.00× · Pricier than 75% of peers
P/FCF 0.1× · Cheaper than 75% of peers
EV/EBITDA 35.9× · Pricier than 75% of peers

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.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 33
FUTURE0 · sector 45
PAST15 · sector 41
HEALTH59 · sector 85
DIVIDEND9 · sector 51

VALUE 0: the price sits above our fair-value range.

Insider activity: 45/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

Similar stocks

10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Aug 13, 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%

Compare IDFC First Bank Limited with another stock

Price, fair value, quality and upside side by side.

Free, no sign-up

Explore undervalued stocks

More undervalued Financial Services stocks →

All undervalued stocks TechnologyFinancial ServicesHealthcareConsumer CyclicalConsumer DefensiveCommunication ServicesIndustrialsEnergyBasic MaterialsReal EstateUtilities Deeply Undervalued StocksUndervalued Blue-Chip StocksUndervalued Small-Cap StocksUndervalued Dividend Stocks

Try a ready-made strategy

Pick a strategy and jump into the live analysis with that exact screen applied.

🥇 Backtested Best 🏆 Big Names ⭐ Top Rated 💎 Quality on Sale 🚀 Profitable Growth 🧊 Quality Compounders 💵 Dividend Stars 📈 Strong Momentum 📉 Fallen Angels ⚖️ Deeply Undervalued 🔍 Small-Cap Gems 🏰 Moat at a Fair Price 💼 Insider Buying 🎩 Buffett-Style Quality 📚 Peter Lynch GARP 🧮 Greenblatt Magic Formula 🛡️ Graham Defensive

Discover tools

Stock screener Filter by region, size and sector Compare tool Two stocks side by side Extrinsic Value Calculator (Options) Splits an option premium into intrinsic and extrinsic (time) value. Peter Lynch Fair Value Formula & Calculator Apply Peter Lynch's fair value formula in seconds: fair P/E ≈ earnings growth (+ dividend) - free, with formula and example.

Frequently asked questions

Is IDFC First Bank Limited (IDFCFIRSTB) overvalued or undervalued?
As of Aug 13, 2026, our model estimates a fair value of ₹23.80 versus a price of ₹86.71, about −73% upside (overvalued).
What is the fair value of IDFCFIRSTB?
Our model-based fair value for IDFC First Bank Limited is ₹23.80 (as of Aug 13, 2026), built from audited fundamentals. The current price: ₹86.71.
What is the quality score of IDFCFIRSTB?
IDFC First Bank Limited has a Quality Score of 31/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the net profit margin of IDFCFIRSTB?
The net profit margin of IDFC First Bank Limited is about 32.8%, meaning it keeps roughly 32.8% of revenue as net income. Based on the latest reported figures.
Does IDFC First Bank Limited pay a dividend?
IDFC First Bank Limited currently shows a dividend yield of about 0.47% relative to its recent price (as of Aug 13, 2026).
Free · no account needed

Watch IDFC First Bank Limited in the live analysis

One click puts IDFC First Bank Limited on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.

Watch for free →

Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.