Bank of Maharashtra (BoM), formerly known as Maharashtra Bank, stands as a significant public sector financial institution in India, with its headquarters located in Pune, Maharashtra. Boasting a history that spans over 80 years within the Indian banking landscape, the bank has established a strong reputation for offering a diverse range of banking services, which encompass retail, corporate, and agricultural banking. While it maintains a solid presence in Maharashtra, the bank is also actively working to extend its reach into other regions of the country. Given its robust business model, strong capital base, and growing market presence, there is considerable interest among investors regarding the future performance of Bank of Maharashtra’s share price. In this analysis Future Stock Value will delve into the critical factors that impact the stock and provide a well-informed Bank of Maharashtra Share Price.
Overview of Bank of Maharashtra (BoM)
The Bank of Maharashtra stands as a prominent public sector bank in India, boasting an extensive network of branches and ATMs throughout the nation. Currently, the bank provides a diverse array of products and services tailored to individual clients, small and medium enterprises, as well as large corporations. These offerings include savings accounts, loans, deposits, and wealth management solutions. Renowned for its robust foundation, supported by substantial public-sector backing, the bank has successfully navigated numerous financial challenges over the years.
Considering its strong financial performance, inclusive banking strategies, and dedication to digital innovation, Maharashtra Bank’s stock presents a compelling opportunity for investors focused on public sector banks. Nevertheless, various factors significantly influence the trajectory of its share price in the near term, particularly as we approach 2026.
Bank of Maharashtra Share Price Target for 2026
Considering the various factors outlined previously, we shall endeavor to forecast the share price target of Maharashtra Bank (BoM) by the year 2026.
Current Price ₹ 50/-
| Year | Bullish Scenario | Intermediate Situation | Bearish Scenario |
|---|---|---|---|
| 2026 | ₹ 160 – ₹ 190 | ₹ 130 – ₹ 150 | ₹ 90 – ₹ 100 |
| 2030 | ₹ 420 – ₹ 450 | ₹ 370 – ₹ 410 | ₹ 300 – ₹ 350 |
- Bullish Scenario: Should Maharashtra Bank maintain its positive trajectory in earnings growth, non-performing asset management, and capitalize on the prospects offered by digital banking, it may experience considerable appreciation in its stock price. Furthermore, if the broader Indian economy thrives and the government persists in its backing of public sector banks, the stock could witness a substantial increase. In this favorable outlook, the share price might reach between ₹160 and ₹190 per share by the year 2026
- Intermediate Situation: In a more stable situation, where the bank experiences consistent growth without notable advancements or declines in critical sectors, the stock price may exhibit gradual increases. Under these circumstances, the stock could range between ₹130 and ₹150 per share by 2026, indicating a moderate performance that aligns with the overall growth trends of the banking industry.
- Bearish Scenario: In a negative outlook, where obstacles such as increasing non-performing assets, sluggish economic expansion, or intense competition from private sector banks impede the bank’s advancement, the stock may experience constrained growth. Under these circumstances, the share price could fluctuate between ₹90 and ₹100, as the market responds to these challenges.
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Company Essentials
- Market Cap : ₹ 39,419.22 Cr.
- CASA : 52.73 %
- No. of Shares : 769.16 Cr.
- P/E : 8.09
- P/B : 1.59
- Face Value : ₹ 10
- Div. Yield : 2.79 %
- Book Value (TTM) : ₹ 32.17
- Net Interest Income : ₹ 9,821.84 Cr.
- Cost To Income : ₹ 37.55 Cr.
- Promoter Holding : 79.6 %
- EPS (TTM) : ₹ 6.34
- CAR : 17.38 %
- ROE : 25.06 %
- ROCE : 18.57 %
- Profit Growth : 55.84 %
Peer Comparison
| COMPANY | PRICERs. | MCAPCr. | P/B | P/E | EPSRs. | ROE% | ROA% | NET NPA | CAR |
|---|---|---|---|---|---|---|---|---|---|
| Union Bank Of India | 112.85 | 86,114.70 | 0.85 | 5.63 | 20.04 | 16.69 | 1.02 | 1.03 | 16.97 |
| Indian Bank | 510.80 | 68,877.00 | 1.18 | 7.27 | 70.35 | 17.10 | 1.07 | 0.43 | 16.44 |
| UCO Bank | 43.47 | 52,008.42 | 2.07 | 23.83 | 1.83 | 6.99 | 0.53 | 0.89 | 16.98 |
| CentralBank of India | 53.12 | 46,113.15 | 1.58 | 13.90 | 3.82 | 9.53 | 0.60 | 1.23 | 15.08 |
| Bank Of India | 100.15 | 45,622.28 | 0.70 | 6.18 | 16.22 | 11.07 | 0.73 | 1.22 | 16.96 |
| Bank of Maharashtra | 51.23 | 39,419.22 | 1.59 | 8.09 | 6.34 | 25.06 | 1.41 | 0.20 | 17.38 |
| Punjab & Sind Bank | 47.34 | 32,072.49 | 3.05 | 47.53 | 1.00 | 4.15 | 0.42 | 1.63 | 17.16 |
Quarterly Result (All Figures in Cr.)
| PARTICULARS | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 |
|---|---|---|---|---|---|
| Interest Earned | 5,067.93 | 5,171.45 | 5,466.70 | 5,874.64 | 6,017.38 |
| Other Income | 667.59 | 679.89 | 1,021.55 | 893.93 | 791.80 |
| Interest Expended | 2,635.93 | 2,705.69 | 2,882.33 | 3,075.54 | 3,210.62 |
| Operating Expenses | 1,179.17 | 1,133.57 | 1,396.30 | 1,398.73 | 1,396.59 |
| Total Provisions | 984.79 | 942.66 | 942.30 | 950.47 | 822.12 |
| Profit Before Tax | 935.63 | 1,069.42 | 1,267.32 | 1,343.83 | 1,379.85 |
| Tax | 15.85 | 33.91 | 49.65 | 50.34 | 53.08 |
| Net Profit | 919.78 | 1,035.51 | 1,217.67 | 1,293.49 | 1,326.77 |
| Net NPA % | 0.23 | 0.22 | 0.20 | 0.20 | 0.20 |
| Gross NPA % | 2.19 | 2.04 | 1.88 | 1.85 | 1.84 |
| Return on Assets % | 1.37 | 1.55 | 1.73 | 1.72 | 1.74 |
| NPM % | 18.15 | 20.02 | 22.27 | 22.02 | 22.05 |
Profit & Loss (All Figures in Cr. Adjusted EPS in Rs.)
| PARTICULARS | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 |
|---|---|---|---|---|---|
| Interest Earned | 11,495.45 | 11,868.54 | 13,019.22 | 15,898.46 | 20,494.69 |
| Other Income | 1,649.23 | 2,627.67 | 2,652.48 | 2,280.27 | 2,997.87 |
| Interest Expended | 7,216.65 | 6,971.07 | 6,974.82 | 8,157.68 | 10,672.84 |
| Operating Expenses | 3,080.96 | 3,565.06 | 3,849.01 | 3,921.84 | 4,814.37 |
| Total Provisions | 3,107.48 | 3,005.95 | 2,892.27 | 2,654.33 | 3,645.87 |
| Profit Before Tax | -260.42 | 954.13 | 1,955.59 | 3,444.89 | 4,359.47 |
| Taxes | -649 | 403.88 | 804.06 | 842.85 | 304.44 |
| Net Profit | 388.58 | 550.25 | 1,151.54 | 2,602.04 | 4,055.03 |
| Adjusted EPS (Rs.) | 0.67 | 0.84 | 1.71 | 3.87 | 5.73 |
Balance Sheet (All Figures are in Crores.)
| Particulars | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 |
|---|---|---|---|---|---|
| Equity and Liabilities | |||||
| Share Capital | 5,824.11 | 6,560.16 | 6,730.50 | 6,730.50 | 7,081.37 |
| Total Reserves | 4,931.17 | 5,573.02 | 7,154.37 | 8,879.77 | 12,592.53 |
| Deposits | 1,50,066.40 | 1,74,005.62 | 2,02,294.29 | 2,34,082.68 | 2,70,747.17 |
| Borrowings | 3,670.03 | 4,238.75 | 7,746.74 | 10,765.66 | 7,718.86 |
| Other Liabilities | 4,375.47 | 6,287.46 | 6,685.46 | 7,192.78 | 8,997.94 |
| Total Liabilities | 1,68,867.18 | 1,96,665.01 | 2,30,611.37 | 2,67,651.39 | 3,07,137.86 |
| Assets | |||||
| Balance with RBI | 10,353.68 | 12,882.48 | 19,721.93 | 18,507.72 | 21,161.34 |
| Balance with Banks | 93.28 | 59.25 | 194.05 | 21.19 | 9,150.32 |
| Investments | 57,740.85 | 68,111.64 | 68,589.97 | 68,866.95 | 68,274.12 |
| Advances | 86,871.65 | 1,02,405.17 | 1,31,170.44 | 1,71,220.67 | 2,00,239.88 |
| Net Block | 1,604.42 | 1,621.99 | 2,036.43 | 2,149.20 | 2,199.90 |
| Other Assets | 12,131.52 | 11,532.47 | 8,693.33 | 6,878.15 | 6,102.59 |
| Total Assets | 1,68,867.18 | 1,96,665.01 | 2,30,611.37 | 2,67,651.39 | 3,07,137.86 |
Corporate Actions (Dividend)
| EX DATE | RECORD DATE | DIVIDEND% | AmountRs. | TYPE |
|---|---|---|---|---|
| 10 May 2024 | 10 May 2024 | 14 | 1.4 | Final |
| 23 May 2023 | 23 May 2023 | 13 | 1.3 | Final |
| 20 Jun 2022 | 22 Jun 2022 | 5 | 0.5 | Final |
Shareholding Pattern
| Summary | Dec 2024 | Oct 05, 2024 | Sep 2024 | Jun 2024 | Mar 2024 | Dec 2023 | Sep 2023 | Jun 2023 | Jun 06, 2023 | Mar 2023 | Dec 2022 | Sep 2022 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Promoter | 79.6% | 79.6% | 86.5% | 86.5% | 86.5% | 86.5% | 86.5% | 86.5% | 86.5% | 91.0% | 91.0% | 91.0% |
| FII | 1.5% | 1.9% | 1.3% | 1.2% | 1.0% | 0.5% | 0.6% | 0.7% | 1.2% | 0.3% | 0.2% | 0.2% |
| DII | 10.9% | 11.0% | 4.5% | 4.6% | 4.7% | 4.7% | 5.2% | 6.4% | 7.1% | 3.3% | 3.4% | 3.8% |
| Public | 8.0% | 7.4% | 7.8% | 7.8% | 7.8% | 8.4% | 7.8% | 6.4% | 5.2% | 5.4% | 5.5% | 5.1% |
“The financial figures mentioned in this analysis are derived from Ticker by Finology for accuracy and reliability.”
Key Elements Affecting the Bank of Maharashtra Share Price
To forecast the share price of Maharashtra Bank for the year 2025, it is essential to evaluate various macroeconomic, financial, and sector-specific factors that will significantly influence its future performance.
Financial Performance and Stability
The financial performance of Maharashtra Bank plays a vital role in influencing its share price. In recent years, the bank has focused on enhancing its asset quality, effectively managing Non-Performing Assets (NPAs), and increasing profitability. Should these initiatives persist in delivering positive outcomes, it is probable that the stock price will experience an upward trajectory.
- NPA Management: The capacity to decrease non-performing assets (NPAs) plays a crucial role in the future performance of the bank. Maharashtra Bank has achieved notable advancements in lowering its NPA ratio, a development that is vital for enhancing investor confidence. Sustained enhancements in asset quality may lead to increased profitability for the bank, subsequently having a favorable impact on its share price.
- Earnings Growth: As the bank broadens its service offerings, especially in the realms of digital and retail banking, an enhancement in its earnings is anticipated. Furthermore, a decrease in provisions for non-performing loans could substantially increase net profitability.
Government Assistance and Regulations
Maharashtra Bank, as a public sector institution, enjoys the advantages of government support and its associated policies. The government’s commitment to enhancing public sector banks and providing them with necessary recapitalization has been a consistent trend, significantly influencing their financial outcomes.
- Recapitalization Plans: The Indian government has persistently focused on recapitalizing public sector banks to maintain their liquidity and operational stability. This initiative enhances the financial robustness of Maharashtra Bank, allowing it to lend more efficiently, manage risks, and grow its business.
- Policy Support: Maharashtra Bank has the potential to leverage opportunities arising from government policies that promote financial inclusion, banking digitization, and rural credit, particularly in semi-urban and rural regions, thereby fostering sustainable growth in the long term.
The Evolution of Digital Technology and Creative Advancement
The banking sector in India has experienced significant transformation due to the growing utilization of digital channels. Maharashtra Bank has proactively adapted to this shift by investing in enhancements to its online banking platform, mobile banking applications, and the overall digital customer experience.
- Tech-Driven Growth: With an increasing number of customers choosing digital banking services, institutions such as Maharashtra Bank are leveraging this shift. The bank’s initiatives to enhance its offerings through innovations like digital loans, UPI payments, and paperless banking are expected to substantially improve both customer acquisition and retention.
- Fintech Collaboration: Collaborating with fintech firms, particularly in the realm of digital payment solutions, will expand its market presence, thereby increasing its competitiveness and attractiveness to a younger, technology-oriented clientele.
Economic Expansion and Prospects for the Banking Sector
The broader economic landscape significantly influences the banking sector, and Maharashtra Bank is no exception to this trend. The Indian economy is projected to experience consistent growth, driven by an expanding middle class, advancements in infrastructure, and a rising demand for financial services.
- GDP Growth: As India’s GDP grows, more people and businesses will need banking services, such as loans, savings accounts, and credit facilities. Maharashtra Bank stands to gain from this macroeconomic trend.
- Interest Rates and Inflation: The Reserve Bank of India (RBI)’s monetary policy decisions, including interest rate changes, also affect the banking sector. Lower interest rates generally lead to increased borrowing, which can boost banks’ loan books, while higher interest rates improve interest income on deposits. Keeping an eye on the RBI’s monetary policy will be crucial for predicting the stock’s future movement.
Competitive Landscape and Market Standing
The Indian banking industry is characterized by intense competition, with numerous private and public sector banks competing for market dominance. Maharashtra Bank encounters rivalry from major private institutions such as HDFC Bank, ICICI Bank, and Axis Bank, in addition to other public sector banks including SBI and Bank of Baroda.
- Strengthening Brand and Market Position: Maharashtra Bank’s capacity to distinguish itself through exceptional customer service, innovative offerings, and focused financial inclusion initiatives will be crucial for enhancing its market share. Additionally, the bank’s emphasis on the retail sector and loans for Micro, Small, and Medium Enterprises (MSMEs) positions it to effectively cater to a specialized market segment.
- Regional Advantage: The bank, based in Maharashtra, enjoys a considerable regional advantage. It is able to utilize its profound knowledge of local markets, enterprises, and requirements to foster stronger connections with customers, thereby maintaining its competitive advantage.
Conclusion
Bank of Maharashtra is positioned at a pivotal point, presenting opportunities for consistent growth in the forthcoming years. This potential is particularly pronounced if the bank maintains its focus on digital banking initiatives, effectively manages non-performing assets (NPAs), and leverages the ongoing support from the government for public sector banks. The stock presents attractive prospects for long-term investors, particularly those seeking to invest in the Indian banking sector.
Maharashtra Bank’s stock price is anticipated to experience consistent and gradual growth, supported by robust fundamentals, an emphasis on innovation, and a strong market presence both in Maharashtra and in other regions. Should the bank effectively manage the competitive environment and external challenges, investors may look forward to a favorable outlook for the share price in 2026.
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