Punjab National Bank

Punjab National Bank is a commercial banking group based in India. Co. is engaged in offering its customers personal, social, agricultural, international and corporate banking services. Co. specialized in offering commercial banking, retail banking, SME banking, rural banking, transaction banking, merchant banking, financial inclusion, credit syndication, treasury, internet & mobile banking services. Co. maintains over 6,300 branches and 7,900 ATMs across 764 cities. Co. has a banking subsidiary in the U.K., as well as branches in Hong Kong, Dubai and Kabul. Co. maintains representative offices in Almaty (Kazakhstan), Dubai, Shanghai (China), Oslo (Norway) and Sydney (Australia).
  • TickerPNBK
  • ISININE160A01022
  • ExchangeNational Stock Exchange of India
  • SectorBanks
  • CountryIndia

Analysts

Mahrukh Adajania

Punjab National Bank's Q4FY19 results (Underperformer) - A big miss, reiterate Underperformer

Q4FY19 result highlights PNB posted a big loss of Rs 48bn versus PAT of 2.5bn qoq. There was a huge tax write back of 24bn driven by bad loan write-offs without which the loss would have been higher. Loans grew 6% yoy and 5% qoq while deposits grew 5% yoy and 4% qoq. NII grew 37% yoy on a low base, but declined 2% qoq. Core PPOP declined 3% qoq. Slippage rose sharply to Rs73bn versus 40bn qoq. Of the total slippage, divergence in GNPAs was 9bn, IL&FS was Rs18bn and the remaining was small accounts. GNPAs remain high at 15.5% of loans though they are lower than 16.6% qoq. Other stress loa...

Nitin Aggarwal

MOSL: PUNJAB NATIONAL BANK (Neutral)-Elevated provisions to remain a drag on earnings

Punjab National Bank: Elevated provisions to remain a drag on earnings (PNB IN, Mkt Cap USD5.4b, CMP INR82, TP INR80, 2% Downside, Neutral)   PNB reported loss of INR47.5b (our est. PAT of INR4.4b) for 4QFY19, dragged by higher provisions of INR100.7b (NPL provisions of INR91.5b). NII grew 37% YoY (-2% QoQ) to INR42b (5% miss) as domestic NIM declined 20bp QoQ to 2.44%. For FY19, NII/PPoP grew 15%/26% YoY, even as the bank reported full-year loss of INR99.8b (v/s loss of INR122.8b in FY18). Other income grew 21%/4% YoY/QoQ in a seasonally strong quarter to INR18.9b, driving 32% YoY growt...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Int'l Compass: Global Equity Strategy

Europe & the UK remain in focus The MSCI ACWI ex-U.S. is breaking topside its nearly 14-month downtrend and above key resistance. The move is being fueled by improvements throughout most of Europe and the UK, along with strength in China over the past 2-3 months. We believe these positive developments are supportive of higher equity prices moving forward. As a result of these and several other observations highlighted below, our outlook on global equities is positive. • Europe & the UK. As has been the case over the last several weeks, a major focus of ours within global equities (ex-U.S.) h...

Despite a better risk assessment and improving to Neutral, PUNJAB NATIONAL BK.LTD. remains under pressure

PUNJAB NATIONAL BK.LTD. (IN), a company active in the Money Center Banks industry, improves its market behaviour and slightly increases its general evaluation. The independent financial analyst theScreener just upgraded the stock market behaviour as moderately risky. At a fundamental level, theScreener confirms 1 out of 4 possible stars; the general evaluation is slightly increased to Neutral but the title remains under pressure. As of the analysis date February 15, 2019, the closing price was INR 70.05 and its target price was estimated at INR 58.36.

Mahrukh Adajania

Punjab National Bank's Q3FY19 results (Underperformer) - A small profit versus loss expectations

Q3FY19 result highlights PNB posted a small PAT of Rs2.5bn versus expectations of a loss. The beat was due to significantly low credit cost. . Credit cost ex Nirav Modi and a small fraud fell to 0.4% from 7.3%. At 0.4%, credit cost is the lowest amongst corporate banks we track. We believe this level of low credit cost is unsustainable. Asset quality improved with slippage declining to Rs39bn from Rs56bn qoq. Loans declined 4% yoy and were flat qoq. Retail loans grew 15% yoy, MSME 9% while overseas loans declined sharply. Domestic NIM for 9M19 improved to 2.64% from 2.46% for 1H19. NII gre...

Moody's: Indian banks' final push for NPL recognition will hurt profitability in the coming quarters

Moody's Investors Service says that the final stage of a multiyear initiative by India's central bank to push banks to recognize problem assets more accurately will reduce profitability for the sector in the near term, but produce benefits over the longer term. "While this push will ...

Punjab National Bank: Key Facts and Statistics - 9M December 2017

A summary company profile, detailing Punjab National Bank’s business operations and financial highlights.

Punjab National Bank: Update to credit analysis

Our credit view of Punjab National Bank, reflecting the recent discovery of fraudulent transactions and its impact on the bank.

Moody's places Punjab National Bank's ratings under review for downgrade

Moody's Investors Service has today placed under review for downgrade Punjab National Bank's (PNB) local and foreign currency deposit rating of Baa3/P-3 and foreign currency issuer rating Baa3. At the same time, Moody's has placed the bank's Baseline Credit Assessment (BCA) and adjusted...

Moody's: Scale of capital infusions for India's public sector banks is credit positive; corporate governance reforms fall short of addressing structural weaknesses

Moody's Investors Service says that the India government's detailing of how much capital each public sector bank will receive in the financial year ending March 2018 is credit positive for the sector. "This announcement is a credit positive for all public sector banks, and especially...

Mahrukh Adajania

Punjab National Bank's Q4FY19 results (Underperformer) - A big miss, reiterate Underperformer

Q4FY19 result highlights PNB posted a big loss of Rs 48bn versus PAT of 2.5bn qoq. There was a huge tax write back of 24bn driven by bad loan write-offs without which the loss would have been higher. Loans grew 6% yoy and 5% qoq while deposits grew 5% yoy and 4% qoq. NII grew 37% yoy on a low base, but declined 2% qoq. Core PPOP declined 3% qoq. Slippage rose sharply to Rs73bn versus 40bn qoq. Of the total slippage, divergence in GNPAs was 9bn, IL&FS was Rs18bn and the remaining was small accounts. GNPAs remain high at 15.5% of loans though they are lower than 16.6% qoq. Other stress loa...

Nitin Aggarwal

MOSL: PUNJAB NATIONAL BANK (Neutral)-Elevated provisions to remain a drag on earnings

Punjab National Bank: Elevated provisions to remain a drag on earnings (PNB IN, Mkt Cap USD5.4b, CMP INR82, TP INR80, 2% Downside, Neutral)   PNB reported loss of INR47.5b (our est. PAT of INR4.4b) for 4QFY19, dragged by higher provisions of INR100.7b (NPL provisions of INR91.5b). NII grew 37% YoY (-2% QoQ) to INR42b (5% miss) as domestic NIM declined 20bp QoQ to 2.44%. For FY19, NII/PPoP grew 15%/26% YoY, even as the bank reported full-year loss of INR99.8b (v/s loss of INR122.8b in FY18). Other income grew 21%/4% YoY/QoQ in a seasonally strong quarter to INR18.9b, driving 32% YoY growt...

Mahrukh Adajania

Punjab National Bank's Q3FY19 results (Underperformer) - A small profit versus loss expectations

Q3FY19 result highlights PNB posted a small PAT of Rs2.5bn versus expectations of a loss. The beat was due to significantly low credit cost. . Credit cost ex Nirav Modi and a small fraud fell to 0.4% from 7.3%. At 0.4%, credit cost is the lowest amongst corporate banks we track. We believe this level of low credit cost is unsustainable. Asset quality improved with slippage declining to Rs39bn from Rs56bn qoq. Loans declined 4% yoy and were flat qoq. Retail loans grew 15% yoy, MSME 9% while overseas loans declined sharply. Domestic NIM for 9M19 improved to 2.64% from 2.46% for 1H19. NII gre...

Nitin Aggarwal

MOSL: PUNJAB NATIONAL BANK (Neutral)-Recoveries & upgrades outlook strong-Slippages trajectory to improve further

Punjab National Bank: Recoveries & upgrades outlook strong; Slippages trajectory to improve further (PNB IN, Mkt Cap USD4b, CMP INR75, TP INR80, 6% Upside, Neutral)   Punjab National Bank’s (PNB) management hosted an analyst meet to discuss the third quarter results performance and the outlook ahead. Key takeaways:  Domestic loan growth to gain more traction, margins to improve further Domestic advances increased 6.7% YoY, as retail loans grew by 15% YoY (+5.6% QoQ), primarily driven by housing loans (+19.4% YoY) and education loans (+9.1% YoY). PNB targets loan growth of double-digit i...

Nitin Aggarwal

MOSL: PUNJAB NATIONAL BANK (Neutral)-Asset quality improving gradually; expect earnings turnaround over FY19-21

Punjab National Bank: Asset quality improving gradually; expect earnings turnaround over FY19-21 (PNB IN, Mkt Cap USD3.9b, CMP INR74, TP INR80, 9% Upside, Neutral)   After posting losses in the previous three quarters, PNB reported net profit of INR2.5b in 3QFY19, led by lower provisions of INR27.5b (38% YoY /72% QoQ decline). NII increased 8% YoY to INR42.9b (6% beat), led by 6.7% YoY growth in gross domestic advances and 2.64% improvement in margins. Operating expenses grew 6% QoQ to INR30.1b as PNB charged INR1.62b towards the Employee Share Purchase Scheme (ESPS) and provided INR1.2...

Despite a better risk assessment and improving to Neutral, PUNJAB NATIONAL BK.LTD. remains under pressure

PUNJAB NATIONAL BK.LTD. (IN), a company active in the Money Center Banks industry, improves its market behaviour and slightly increases its general evaluation. The independent financial analyst theScreener just upgraded the stock market behaviour as moderately risky. At a fundamental level, theScreener confirms 1 out of 4 possible stars; the general evaluation is slightly increased to Neutral but the title remains under pressure. As of the analysis date February 15, 2019, the closing price was INR 70.05 and its target price was estimated at INR 58.36.

Ford Equity International Rating and Forecast Report

Ford Equity International Research Reports cover 60 countries with over 30,000 stocks traded on international exchanges. A proprietary quantitative system compares each company to its peers on proven measures of business value, growth characteristics, and investor behavior. Ford's three recommendation ratings buy, hold and sell, represent each stock’s return potential relative to its own country market.. The rating reports which are generated each week, include the fundamental details behind each recommendation and reflect the fundamental and price data as of the last trading day of the week...

Dave Nicoski ...
  • Ross LaDuke

Vermilion Int'l Compass: Global Equity Strategy

Europe & the UK remain in focus The MSCI ACWI ex-U.S. is breaking topside its nearly 14-month downtrend and above key resistance. The move is being fueled by improvements throughout most of Europe and the UK, along with strength in China over the past 2-3 months. We believe these positive developments are supportive of higher equity prices moving forward. As a result of these and several other observations highlighted below, our outlook on global equities is positive. • Europe & the UK. As has been the case over the last several weeks, a major focus of ours within global equities (ex-U.S.) h...

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