Top Banking Stocks in India
Banking stocks in India are under increased scrutiny as the market responds to changes in fiscal policy, interest rates, and credit demand. The sector is evolving, with strong growth potential in certain areas despite some headwinds. This article takes an in-depth look at the current state of banking stocks and the factors influencing their performance, offering insights for investors looking to make informed decisions.
Best Banking Stocks
Sunday, 6 July, 2025
| symbol | Company | ticker | slug | Sector | Market Price | 52W High | 52W Low | Market Cap (Cr.) | PE Ratio | Industry PE | PB Ratio | Div. Yield (%) | ROE (%) | 1YReturns | 3YReturns | 5YReturns | Market Cap Label | Industry Group | Industry | Sub Industry | percentageChange |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| BHARI | Bharti Hexacom Ltd | BHARTIHEXA | /stocks/bharti-hexacom-BHARI | Telecom Services | 1,906.40 | 2,052.90 | 1,030.00 | 95,320.00 | 63.82 | 116.10 | 20.55 | 0.52 | 11.40 | 77.58 | 134.40 | 134.40 | Midcap | Telecommunication Services | Wireless Telecommunication Services | Wireless Telecommunication Services | -1.15 |
| BMBK | Bank of Maharashtra Ltd | MAHABANK | /stocks/bank-of-maharashtra-BMBK | Public Banks | 57.49 | 70.80 | 42.00 | 44,218.75 | 7.98 | 17.36 | 1.54 | 2.61 | 22.82 | -9.58 | 262.71 | 429.86 | Midcap | Banks | Banks | Diversified Banks | 0.52 |
| BOI | Bank of India Ltd | BANKINDIA | /stocks/bank-of-india-BOI | Public Banks | 117.81 | 130.24 | 90.05 | 53,634.98 | 5.62 | 17.36 | 0.66 | 3.44 | 12.59 | -0.70 | 158.07 | 136.33 | Midcap | Banks | Banks | Diversified Banks | -0.57 |
| CAPI | Capital Small Finance Bank Ltd | CAPITALSFB | /stocks/capital-small-finance-bank-CAPI | Private Banks | 281.45 | 370.70 | 250.00 | 1,273.48 | 9.67 | 17.36 | 1.06 | 1.41 | 12.34 | -18.96 | -35.30 | -35.30 | Smallcap | Banks | Banks | Regional Banks | 0.30 |
| CBI | Central Bank of India Ltd | CENTRALBK | /stocks/central-bank-of-india-CBI | Public Banks | 39.48 | 67.64 | 32.75 | 35,734.93 | 9.08 | 17.36 | 0.97 | 0.48 | 11.33 | -36.59 | 121.18 | 124.96 | Midcap | Banks | Banks | Diversified Banks | -0.33 |
| CNBK | Canara Bank Ltd | CANBK | /stocks/canara-bank-CNBK | Public Banks | 114.37 | 119.30 | 78.60 | 103,741.04 | 5.91 | 17.36 | 0.97 | 3.50 | 17.56 | -2.47 | 203.61 | 445.14 | Largecap | Banks | Banks | Diversified Banks | 0.18 |
| CSBB | CSB Bank Ltd | CSBBANK | /stocks/csb-bank-CSBB | Private Banks | 412.50 | 420.00 | 272.75 | 6,984.54 | 11.76 | 17.36 | 1.84 | 0.00 | 16.18 | 10.46 | 112.68 | 122.97 | Smallcap | Banks | Banks | Regional Banks | 4.68 |
| CTBK | City Union Bank Ltd | CUB | /stocks/city-union-bank-CTBK | Private Banks | 217.27 | 232.55 | 142.91 | 16,099.88 | 14.33 | 17.36 | 1.92 | 0.92 | 12.81 | 25.74 | 57.04 | 71.69 | Smallcap | Banks | Banks | Diversified Banks | 0.18 |
| DCBA | DCB Bank Ltd | DCBBANK | /stocks/dcb-bank-DCBA | Private Banks | 143.00 | 150.79 | 101.41 | 4,496.92 | 7.31 | 17.36 | 0.89 | 0.94 | 11.12 | 2.69 | 89.15 | 76.87 | Smallcap | Banks | Banks | Diversified Banks | -0.91 |
| DNBK | Dhanlaxmi Bank Ltd | DHANBANK | /stocks/dhanlaxmi-bank-DNBK | Private Banks | 29.93 | 37.49 | 22.00 | 1,181.33 | 17.73 | 17.36 | 1.15 | 0.00 | 5.81 | -12.61 | 206.06 | 164.38 | Smallcap | Banks | Banks | Regional Banks | -1.19 |
| EQU | Equitas Small Finance Bank Ltd | EQUITASBNK | /stocks/equitas-small-finance-bank-EQU | Private Banks | 67.93 | 95.09 | 52.52 | 7,746.07 | 52.68 | 17.36 | 1.30 | 0.00 | 14.36 | -27.78 | 73.29 | 107.10 | Smallcap | Banks | Banks | Diversified Banks | -0.48 |
| ESAF | ESAF Small Finance Bank Limited | ESAFSFB | /stocks/esaf-small-finance-bank-ESAF | Private Banks | 34.96 | 54.22 | 24.31 | 1,801.93 | -3.46 | 17.36 | 0.72 | 0.00 | 20.23 | -33.61 | -49.37 | -49.37 | Smallcap | Banks | Banks | Diversified Banks | 1.54 |
| FED | Federal Bank Ltd | FEDERALBNK | /stocks/federal-bank-FED | Private Banks | 215.32 | 220.00 | 172.66 | 52,905.88 | 12.82 | 17.36 | 1.71 | 0.55 | 14.53 | 18.98 | 126.18 | 301.34 | Midcap | Banks | Banks | Diversified Banks | -0.77 |
| FINOP | Fino Payments Bank Ltd | FINOPB | /stocks/fino-payments-bank-FINOP | Private Banks | 280.30 | 467.00 | 200.00 | 2,332.61 | 25.21 | 17.36 | 3.63 | 0.00 | 12.61 | -9.76 | 14.88 | -48.46 | Smallcap | Banks | Banks | Diversified Banks | -0.39 |
| HDBK | HDFC Bank Ltd | HDFCBANK | /stocks/hdfc-bank-HDBK | Private Banks | 1,989.30 | 2,027.10 | 1,588.05 | 1,525,374.67 | 21.55 | 17.36 | 3.25 | 1.10 | 16.86 | 15.18 | 46.74 | 80.35 | Largecap | Banks | Banks | Diversified Banks | 0.11 |
| ICBK | ICICI Bank Ltd | ICICIBANK | /stocks/icici-bank-ICBK | Private Banks | 1,442.80 | 1,471.60 | 1,153.00 | 1,029,102.88 | 20.23 | 17.36 | 3.81 | 0.75 | 18.02 | 17.02 | 100.36 | 298.73 | Largecap | Banks | Banks | Diversified Banks | 1.19 |
| IDBI | IDBI Bank Ltd | IDBI | /stocks/idbi-bank-IDBI | Private Banks | 101.12 | 107.90 | 65.89 | 108,728.29 | 14.25 | 17.36 | 1.76 | 2.08 | 13.50 | 20.78 | 228.31 | 88.83 | Largecap | Banks | Banks | Diversified Banks | -0.28 |
| IDFB | IDFC First Bank Ltd | IDFCFIRSTB | /stocks/idfc-first-bank-IDFB | Private Banks | 77.88 | 82.10 | 52.46 | 57,119.73 | 38.33 | 17.36 | 1.77 | 0.31 | 10.12 | -4.05 | 128.72 | 186.32 | Midcap | Banks | Banks | Diversified Banks | 0.28 |
| INBA | Indian Bank | INDIANB | /stocks/indian-bank-INBA | Public Banks | 650.50 | 658.50 | 473.90 | 87,620.01 | 7.78 | 17.36 | 1.22 | 2.50 | 17.09 | 20.12 | 331.65 | 905.41 | Midcap | Banks | Banks | Diversified Banks | 0.70 |
| IOBK | Indian Overseas Bank | IOB | /stocks/indian-overseas-bank-IOBK | Public Banks | 39.95 | 72.60 | 33.50 | 76,930.08 | 22.66 | 17.36 | 2.39 | 0.00 | 11.36 | -36.71 | 129.60 | 271.63 | Midcap | Banks | Banks | Diversified Banks | -0.10 |
| JSF | Jana Small Finance Bank Ltd | JSFB | /stocks/jana-small-finance-bank-JSF | Private Banks | 493.95 | 714.00 | 363.80 | 5,195.20 | 10.36 | 17.36 | 1.45 | 0.00 | 24.92 | -30.02 | 34.17 | 34.17 | Smallcap | Banks | Banks | Diversified Banks | -1.13 |
| KARU | Karur Vysya Bank Ltd | KARURVYSYA | /stocks/karur-vysya-bank-KARU | Private Banks | 271.50 | 277.50 | 185.55 | 21,859.81 | 11.26 | 17.36 | 2.18 | 0.96 | 17.23 | 31.94 | 513.56 | 699.71 | Smallcap | Banks | Banks | Diversified Banks | 2.61 |
| KBNK | Karnataka Bank Ltd | KTKBANK | /stocks/karnataka-bank-KBNK | Private Banks | 193.70 | 245.00 | 162.20 | 7,321.25 | 5.75 | 17.36 | 0.67 | 2.58 | 13.71 | -13.40 | 190.62 | 354.69 | Smallcap | Banks | Banks | Diversified Banks | -0.12 |
| KTKM | Kotak Mahindra Bank Ltd | KOTAKBANK | /stocks/kotak-mahindra-bank-KTKM | Private Banks | 2,129.80 | 2,301.90 | 1,679.05 | 423,472.46 | 19.30 | 17.36 | 3.26 | 0.00 | 15.03 | 16.14 | 27.46 | 55.70 | Largecap | Banks | Banks | Diversified Banks | 0.15 |
| NTP | Ntpc Green Energy Ltd | NTPCGREEN | /stocks/ntpc-green-energy-NTP | Renewable Energy | 106.55 | 155.35 | 84.55 | 89,782.54 | 188.83 | 21.87 | 14.41 | 0.00 | 6.20 | -12.41 | -12.41 | -12.41 | Midcap | Utilities | Independent Power and Renewable Electricity Producers | Renewable Electricity | 0.11 |
Disclaimer: Please note that the above list is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing.
Note: The data on this list of banking stocks is dynamic in nature and subject to real-time changes. This data is derived from Tickertape Stock Screener.
The House of HDFC smallcase includes the stocks of companies that are subsidiaries of HDFC Group, one of India’s largest financial conglomerates. It was created by Windmill Capital.
Disclosures for House of HDFC smallcase
The Banking and Finance smallcase is a basket of handpicked stocks of banks and financial institutions listed in India. It was created by Angel One.
Disclosures for Bank & Finance smallcase
The Banking Tracker smallcase consists of companies that track the performance of the banking industry in India. It was created by Windmill Capital.
Disclosures for Banking Tracker smallcase
What are Banking Stocks?
Bank sector stocks are shares of companies that provide financial services, such as commercial banks, investment banks, and insurance companies.
About the Top Banking Stocks
- Kotak Mahindra Bank Ltd: Kotak Mahindra Bank is one of the leading private-sector banks in India. It was founded in 2003. The bank offers a wide range of banking products and services for retail and corporate customers.
- Axis Bank Ltd: Axis Bank is one of India’s top private banking shares. It is renowned for its innovative financial solutions and customer-focused approach.
- ICICI Bank Ltd: ICICI Bank is recognised for its innovative banking solutions and diverse financial offerings, catering to retail and corporate clients.
- HDFC Bank Ltd: HDFC Bank is one of India’s largest private sector banks and consistently ranks among the well-reputed Indian bank shares.
- Bank of Baroda Ltd: Bank of Baroda Ltd is a leading Indian public sector bank known for its extensive banking services, which include retail, corporate, and international banking.
How to Invest in Banking Stocks?
Here is how one can invest in the top banking stocks for beginners or seasoned investors in India:
- Open a demat/trading/stockbroker account. You can open a demat account with smallcase!
- Conduct thorough research into banking stocks in India that is of interest to you. Investors can use tools like the Tickertape Stock Screener to do this. The screener offers 200+ built-in filters to choose from, and investors can choose the parameters to research the top bank stock investments.
- Place a ‘Buy’ Order on the banking stocks India of your choosing.
What is Bank NIFTY?
Bank NIFTY is a stock market index that tracks the performance of the top bank stocks in India. It is also known as the Bank index and is a subset of the larger NIFTY 50 index. The Bank NIFTY index or Fininifty (also called Nifty Financial Services) can provide investors with a benchmark for measuring the performance of the banking sector in India. Institutional and retail investors widely follow it. It can be used as a proxy for the overall health of the Indian economy.
Benefits of Investing in Banking Stocks
- Long-Term Growth Potential: Banks benefit from economic growth by expanding loan portfolios and introducing new financial services, boosting profitability. The low price bank share list includes options with significant growth potential for long-term investors.
- Stability During Economic Downturns: Bank stocks with strong growth potential are considered defensive investments, offering stability despite short-term market volatility. The bank shares list often withstands downturns better than other sectors, providing opportunities even during uncertain times.
- Interest Rate Sensitivity: Banks benefit from rising interest rates, which can lead to higher profitability and potential growth for investors.
Risks Faced by the Banking Sector in India
- Regulatory Changes: Complex regulations, like AML rules and data protection laws, can affect bank profitability. Banks are automating compliance to stay efficient.
- Cybersecurity Risks: Digitalisation increases the risk of cyberattacks. Public and private sector bank stocks that invest in cybersecurity and partner with firms to secure customer data, ensuring their place in the best stock in banking sector.
- Growing Competition: Fintech and digital banks have intensified competition. Traditional banks are adopting technology and new business models to remain competitive, maintaining relevance in the bank shares list.
- Economic Uncertainty: Political and economic instability can reduce demand for financial services. Private and public sector bank stocks are diversifying portfolios and using technology to manage risks, ensuring stability in the best stock in banking sector.
- Fintech Disruption: Fintech offers faster, cheaper services, challenging traditional banks. In response, banks are increasing technology investments and partnering with fintech firms to remain competitive and retain their position in the bank stock list.
Factors to Consider While Investing in Banking Stocks
- Regulatory Risks: Changes in regulations can impact profitability of even high dividend bank stocks. Investors should consider regulatory compliance when selecting from the best bank shares.
- Credit Risk: Loan quality impacts profitability. Assess the best bank stocks in India for non-performing loans and strong underwriting practices.
- Interest Rate Risk: Interest rate changes affect banks’ revenues from loans and deposits. Consider a bank’s sensitivity to these changes when investing in the best banking share.
- Technology and Cybersecurity: Evaluate a bank’s ability to adopt new technologies and manage cybersecurity risks. This can impact the bank share price today and long-term profitability.
Can't decide which stocks to pick?
smallcase offers 500+ readymade stock baskets, created and managed by SEBI-registered investment experts
Try smallcase
smallcases are readymade model portfolios of stocks/ETFs, that are based on a theme, idea or strategy. They’re created and managed by SEBI-registered investment experts (also known as smallcase managers).
Among the 500+ expert-curated portfolios, here are a few popular smallcases among new investors:
Disclosures for aforementioned smallcases
To Wrap It Up…
One could benefit from the banking sector’s long-term growth and steady dividend income. However, it’s important to consider the risks and factors specific to the banking stocks before investing. As always, please do your own research and/or consult a financial advisor before investing in the best banking share in India.
Discover ready-made stock baskets on smallcase
smallcase offers simple, quick & delightful investing for you with 200+ readymade stock baskets, created and managed by SEBI-registered investment experts
Frequently Asked Questions on Banking Stocks in India
1. What are the current non-performing asset (NPA) levels?
As of March 2025, the gross NPA ratio for 46 banks was at 2.3%, with projections indicating a slight increase to 2.5% by March 2027, assuming steady economic growth.
2. How can I invest in the best banking shares in India?
You can invest in the best banking shares by following these steps:
(a) Research the different banking Indian banking sector stocks that are available.
(b) Open a demat account. You can open one with smallcase!
© Invest in the best bank for investment in India.
3. Is it a good time to explore in banking stocks in India?
The consistent growth of the Indian economy has led to an increase in demand for banking services. However, it’s important to do your own research and/or consult a financial advisor before investing in the best banking stocks in India.
4. Why banking stocks are rising?
Public sector banks have reported a higher net profit in the financial year 2024-25, and this is due to the one-time provision allocated to pensions by several banks. This pension provision, being lower than anticipated, gave way to a rise in their stock prices.
5. Can I hold Bank Nifty for the long term?
It can experience stability, growth potential, and potential for high returns by investing in Bank Nifty. However, the maximum duration for holding a derivative contract is restricted to three expiry months. Investors should comprehend the growth potential and challenges confronted by these banks before investing.
