The Karnataka Bank Limited (KTKBANK.NS) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-16.4%

₹255.89

vs ₹306.20 price

Levered DCF

-₹11.31

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

0.23

Distress zone

Rating

B+

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	6.43×	5.32×	5.96×	3.58×	3.39×	3.94×	3.03×	8×
P/B	0.64×	0.56×	0.72×	0.51×	0.24×	0.29×	0.22×	0.66×
P/S	0.82×	0.66×	0.81×	0.51×	0.24×	0.25×	0.17×	0.56×
EV / EBITDA	3.41×	0.43×	0×	-3.82×	-1.63×	-2.39×	1.77×	5.11×
Gross margin	40.7%	44.5%	48.1%	50.9%	47.9%	30.3%	42.6%	41.8%
Operating margin	16.1%	16.0%	16.3%	17.5%	9.7%	8.1%	6.7%	8.8%
Net margin	12.7%	12.4%	13.6%	14.4%	7.1%	6.4%	5.6%	6.9%
Current ratio	0×	0.08×	0.59×	18.18×	16.45×	100.61×	12.17×	78.66×
Debt / equity	0.4×	0.16×	0.41×	0.19×	0.21×	0.27×	0.44×	0.55×
Interest coverage	0.29×	0.29×	0.31×	0.36×	0.19×	0.15×	0.12×	0.15×
Dividend yield	2.2%	3.1%	2.0%	2.9%	3.2%	0.0%	9.1%	2.7%
Payout ratio	14.4%	16.3%	12.0%	10.6%	11.0%	0.0%	27.6%	21.4%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	9.9%	10.5%	12.0%	14.4%	7.2%	7.3%	7.2%	8.2%
Return on invested capital	1.0%	7.9%	1.1%	48.7%	27.0%	6.5%	29.2%	2.2%
Return on assets	1.0%	1.1%	1.1%	1.2%	0.6%	0.6%	0.5%	0.6%
Free cash flow yield	4.0%	-98.8%	7.3%	41.2%	-30.4%	172.7%	-11.3%	-60.2%
Earnings yield	15.5%	18.8%	16.8%	27.9%	29.5%	25.4%	33.0%	12.5%
Enterprise value	₹60.2B	₹7.4B	₹42.5B	-₹58.3B	-₹12.5B	-₹16.4B	₹10.4B	₹33.8B
Net debt / EBITDA	-1.36×	-3.5×	0×	-6.58×	-3.87×	-5.16×	-0.46×	-0.66×
Cash conversion cycle (days)	0	0	32	-630	-510	33	-368	-395