The South Indian Bank Limited (SOUTHBANK.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

+5.8%

₹57.52

vs ₹54.34 price

Levered DCF

-₹28.21

After debt service

Piotroski score

5 / 9

Average

Altman Z-score

0.3

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	6.15×	4.74×	5.75×	3.96×	34.45×	23.69×	9.89×	11.43×
P/B	0.78×	0.61×	0.7×	0.46×	0.27×	0.26×	0.19×	0.53×
P/S	0.76×	0.55×	0.61×	0.37×	0.21×	0.18×	0.12×	0.38×
EV / EBITDA	1.33×	-0.23×	0.87×	0.1×	780.84×	-26.04×	-2.64×	7.41×
Gross margin	42.4%	47.2%	47.9%	48.4%	43.0%	41.0%	35.7%	34.8%
Operating margin	16.5%	15.6%	15.1%	13.5%	-1.2%	1.0%	1.8%	5.1%
Net margin	12.3%	11.6%	10.6%	9.5%	0.6%	0.7%	1.2%	3.3%
Current ratio	0×	0.09×	0.09×	0.11×	0.13×	0.17×	66.89×	37.16×
Debt / equity	0.34×	0.26×	0.44×	1.01×	0.58×	0.71×	1.17×	0.95×
Interest coverage	0.31×	0.3×	0.29×	0.26×	-0.02×	0.02×	0.03×	0.08×
Dividend yield	1.2%	1.3%	1.0%	0.0%	0.0%	0.0%	5.3%	3.1%
Payout ratio	7.2%	6.0%	5.9%	0.0%	0.0%	0.0%	52.1%	35.3%

Key metrics by fiscal year

Metric	FY2026	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	12.8%	12.9%	12.1%	11.6%	0.8%	1.1%	1.9%	4.6%
Return on invested capital	1.0%	7.7%	7.0%	4.8%	0.4%	0.6%	0.3%	0.8%
Return on assets	1.0%	1.0%	0.9%	0.7%	0.0%	0.1%	0.1%	0.3%
Free cash flow yield	24.2%	-131.2%	-54.9%	-240.5%	270.8%	384.5%	55.5%	55.8%
Earnings yield	16.2%	21.1%	17.4%	25.3%	2.9%	4.2%	10.1%	8.7%
Enterprise value	₹27.5B	-₹4.3B	₹14.2B	₹1.2B	-₹64.1B	-₹44.1B	-₹6B	₹33.4B
Net debt / EBITDA	-3×	-3.56×	-2.93×	-2.46×	972.17×	-34.84×	-7.18×	1.12×
Cash conversion cycle (days)	0	-22	-18	-18	-15	155	-118	-437