Federal Bank is a familiar entity in the Indian banking industry, offering an extensive variety of financial services to its clientele. With a presence in the market for over eight decades, the bank boasts a good standing due to its superior services and stability.
Recently, the Federal Bank share price target has been a hot topic among investors and analysts. With the release of the massive Q3 results, Federal Bank’s share price target has been raised by several analysts, making it a potential auto stock to buy.
In this article, we will delve into the Federal Bank share price target for the years 2023 to 2030, and explore whether the bank is a good investment opportunity for investors. With the current economic landscape, investors are looking for stable and profitable investment options, and Federal Bank may just be the right choice for them.
Contents
About the Bank
Federal Bank Ltd. is a major Indian commercial bank in the private sector headquartered in Aluva, Kerala. It is one of the oldest private sector banks in India. As of now, Federal Bank has a network of 1,270 branches and 1,950 ATMs spread across the country. The bank also has representative offices in Abu Dhabi, United Arab Emirates and Kuwait. The bank is a member of the NSE, BSE, and the NSDL.
The Bank also has a wholly owned subsidiary, Fedbank Financial Services Ltd, which is a deposit-taking Non-Banking Finance Company (NBFC). The Bank also has a joint venture with South Indian Bank, named SIB-Federal Fincorp Ltd. The bank also has a subsidiary company in the UK, known as Federal Bank (UK) Ltd.
Stock History of Federal Bank Ltd
The Federal Bank Ltd has a long and successful history in India. Since it’s establishment, the bank has grown steadily, expanding its reach and services to customers. In 2019, the bank celebrated its 75th year of successful operation.
In the last few years, the bank has seen a dramatic increase in its customer base and profits. The bank has also launched several innovative services and products to cater to the needs of its customers. The Federal Bank Ltd has been listed on the National Stock Exchange of India since 1994. The stock has performed well, with the share price increasing since its’s listing. In recent years, the bank has seen its stock price rise substantially.
Overall, the stock has been performing well and is expected to continue its growth trajectory. Investors should keep an eye on the stock for any potential opportunities.
As of January 2023, the stock price of Federal Bank Ltd is 134.30 INR.
Latest news about Federal Bank Ltd
➤ Federal Bank shares fall by 0.8% due to Nifty
➤ Federal bank targets raised by analysts due to massive Q3
- Open a Demat Account: To buy Federal Bank Ltd shares, you might have to open a demat account. A demat account is a type of account that holds your securities in the electronic format, and is necessary to buy or sell shares in the stock market.
- Choose a Stockbroker: Once you have opened a demat account, you will need to choose a stockbroker that provides services to buy and sell equity shares.
- Place an Order: After selecting the stockbroker, you might have to place an order for Federal Bank Ltd shares. You can do this online or through the broker’s office.
- Pay for the Shares: After placing the order, you might have to make the payment for the shares. The payment can be made through net banking, payment gateway, or by cheque.
- Receive the Shares: After you have made the payment, the shares will get transfered to your demat account. You will then be able to view the shares in your portfolio.
You can buy shares from the following trading platforms:
| Zerodha | Click here |
| Upstox | Click here |
| Groww | Click here |
| AngelOne | Click here |
| ICICIDirect | Click here |
| When | Maximum Price | Minimum Price |
| January 2023 | ₹134.30 | ₹63.57 |
| February 2023 | ₹136.99 | ₹105.37 |
| March 2023 | ₹102.74 | ₹79.03 |
| April 2023 | ₹113.01 | ₹86.93 |
| May 2023 | ₹94.18 | ₹72.44 |
| June 2023 | ₹113.01 | ₹86.93 |
| July 2023 | ₹135.62 | ₹104.32 |
| August 2023 | ₹149.18 | ₹114.75 |
| September 2023 | ₹156.64 | ₹120.49 |
| October 2023 | ₹149.18 | ₹114.75 |
| November 2023 | ₹164.10 | ₹126.23 |
| December 2023 | ₹183.79 | ₹141.37 |
The table above represents the Federal Bank’s share price prediction for the year 2023. The bank’s share price is expected to show a bullish trend in 2023, with the maximum price ranging from ₹134.30 in January 2023 to ₹183.79 in December 2023. This indicates a growth percentage of approximately 37% from the minimum price of ₹63.57 in January 2023 to the maximum price in December 2023.
The bank’s share price is also expected to experience an uptrend in the second half of 2023, with a maximum price of ₹149.18 in August 2023 and a minimum price of ₹114.75 in October 2023. Overall, the bank’s share price is expected to show positive growth in 2023, making it an attractive investment opportunity for investors.
| When | Maximum Price | Minimum Price |
| January 2024 | ₹193.46 | ₹148.82 |
| February 2024 | ₹217.37 | ₹181.14 |
| March 2024 | ₹228.81 | ₹186.03 |
| April 2024 | ₹208.01 | ₹160.01 |
| May 2024 | ₹173.34 | ₹133.34 |
| June 2024 | ₹208.01 | ₹160.01 |
| July 2024 | ₹176.81 | ₹137.06 |
| August 2024 | ₹194.49 | ₹154.36 |
| September 2024 | ₹204.21 | ₹157.09 |
| October 2024 | ₹240.25 | ₹184.81 |
| November 2024 | ₹252.26 | ₹194.05 |
| December 2024 | ₹257.31 | ₹197.93 |
The Federal Bank share price target for 2024 is expected to show continued growth and stability, as shown in the table above. The maximum price for the year is projected to reach ₹257.31 in December 2024, while the minimum price is expected to be ₹133.34 in May 2024.
This indicates a growth percentage of approximately 60% from the minimum price to the maximum price for the year. The bank’s share price is expected to experience an uptrend in the first half of 2024, with a maximum price of ₹228.81 in March 2024 and a minimum price of ₹160.01 in April 2024. The bank’s share price is expected to show positive growth throughout the year, making it a lucrative investment option for investors.
| When | Maximum Price | Minimum Price |
| January 2025 | ₹262.46 | ₹201.89 |
| February 2025 | ₹276.27 | ₹212.51 |
| March 2025 | ₹290.08 | ₹223.14 |
| April 2025 | ₹259.00 | ₹199.23 |
| May 2025 | ₹235.46 | ₹181.12 |
| June 2025 | ₹259.00 | ₹199.23 |
| July 2025 | ₹246.67 | ₹189.75 |
| August 2025 | ₹256.95 | ₹197.65 |
| September 2025 | ₹269.79 | ₹207.53 |
| October 2025 | ₹285.98 | ₹219.99 |
| November 2025 | ₹306.00 | ₹235.39 |
| December 2025 | ₹312.12 | ₹240.09 |
According to the table, the maximum price for the year is projected to reach ₹312.12 in December 2025, while the minimum price is expected to be ₹181.12 in May 2025. This indicates a growth percentage of approximately 70% from the minimum price to the maximum price for the year.
The bank’s share price is expected to experience a bullish market in the first half of 2025, with a maximum price of ₹290.08 in March 2025 and a minimum price of ₹199.23 in April 2025.
In conclusion, the Federal Bank share price target for 2025 presents a promising outlook for investors, with a potential for substantial returns.
| Year | Maximum Price | Minimum Price |
| 2026 | ₹218.48 | ₹152.94 |
| 2027 | ₹185.71 | ₹130.00 |
| 2028 | ₹334.28 | ₹234.00 |
| 2029 | ₹686.67 | ₹480.67 |
| 2030 | ₹764.70 | ₹535.29 |
The Federal Bank share price target for the next five years, from 2026 to 2030, is expected to show a significant growth trend.
In 2026, the maximum price is projected to reach ₹218.48, while the minimum price is expected to be ₹152.94.
The following year, in 2027, the maximum price is expected to decrease slightly to ₹185.71, while the minimum price is expected to reach ₹130.00.
However, in 2028, the bank’s share price is expected to experience a massive increase, with a maximum price of ₹334.28 and a minimum price of ₹234.00.
This trend continues in the next two years, with the maximum price reaching ₹686.67 in 2029 and ₹764.70 in 2030. The minimum price for these years is expected to be ₹480.67 in 2029 and ₹535.29 in 2030.
These projections indicate a substantial growth percentage for Federal Bank’s share price in the next five years, making it a good investment option for investors.
Financial Condition of Federal Bank Ltd: Last 5 years
| Narration | Mar-18 | Mar-19 | Mar-20 | Mar-21 | Mar-22 | Trailing | Best Case | Worst Case |
| Sales | 9,914.90 | 11,635.44 | 13,590.39 | 14,314.08 | 14,381.53 | 16,485.82 | 16,485.82 | 15,588.02 |
| Expenses | 3,330.77 | 3,571.97 | 4,608.20 | 5,527.28 | 5,757.91 | 5,798.20 | 5,798.20 | 5,858.83 |
| Operating Profit | 6,584.13 | 8,063.47 | 8,982.19 | 8,786.80 | 8,623.62 | 10,687.62 | 10,687.62 | 9,729.19 |
| Other Income | 1,160.22 | 1,335.22 | 1,881.81 | 1,971.65 | 2,120.93 | 2,152.06 | – | – |
| Depreciation | 124.73 | 122.26 | 125.73 | 114.92 | 138.90 | – | – | – |
| Interest | 6,226.42 | 7,316.33 | 8,678.31 | 8,434.96 | 7,959.38 | 9,067.65 | 9,067.65 | 9,067.65 |
| Profit before tax | 1,393.20 | 1,960.10 | 2,059.96 | 2,208.57 | 2,646.27 | 3,772.03 | 1,619.97 | 661.54 |
| Tax | 483.55 | 677.58 | 507.20 | 561.36 | 680.88 | 954.08 | 25% | 25% |
| Net profit | 935.44 | 1,316.29 | 1,580.20 | 1,664.33 | 1,969.79 | 2,798.35 | 1,210.22 | 494.22 |
| EPS | 4.74 | 6.63 | 7.93 | 8.34 | 9.37 | 13.23 | 5.72 | 2.34 |
| Price to earning | 18.81 | 14.55 | 5.18 | 9.09 | 10.40 | 10.15 | 10.15 | 8.70 |
| Price | 89.20 | 96.45 | 41.05 | 75.80 | 97.40 | 134.25 | 58.06 | 20.34 |
| RATIOS: | ||||||||
| Dividend Payout | 21.08% | 21.11% | 0.00% | 8.40% | 19.21% | |||
| OPM | 66.41% | 69.30% | 66.09% | 61.39% | 59.96% | 64.83% |
The Federal Bank financial statement for the past five years has shown growth and stability in the company’s revenue and profit margins.
The sales for the company have increased from ₹9,914.90 in Mar-18 to ₹14,381.53 in Mar-22, showing a revenue growth of 45%. This is reflected in the profit after tax (PAT) as well, which has grown from ₹935.44 in Mar-18 to ₹1,969.79 in Mar-22, demonstrating a growth of 111%.
The earnings per share (EPS) have also seen a growth, increasing from ₹4.74 in Mar-18 to ₹9.37 in Mar-22, representing a growth of 97%.
The price to earning ratio has also seen an improvement, decreasing from 18.81 in Mar-18 to 10.40 in Mar-22.
The profit margins have also remained consistent, with an operating profit margin of 59.96% in Mar-22, which is close to the maximum of 64.83%.
Despite a drop in dividend payout from 21.08% in Mar-18 to 19.21% in Mar-22, the company’s growth in revenue and profit continues to be steady and consistent.
Yes, the per share price of Federal Bank Ltd will grow and reach ₹183.79 by the December of 2023.
What is the price prediction for Federal Bank Ltd for 2030?
The per share price of Federal Bank Ltd might reach around ₹764.70 by the end of 2030 on the basis of the current price of the stock and its historical performance.
Mention the current market condition of Federal Bank Ltd Stock.
At the time of writing, the Federal Bank Ltd share price is trading at ₹134.30 with a market capitalisation of 284.03 billion INR.
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Conclusion
In conclusion, Federal Bank Ltd has a promising share price outlook over the next seven years, with estimates ranging from 2023 to 2030. The share price might remain stable, although fluctuations in the market may cause some volatility. The bank’s strong financials, innovative banking products and services, and commitment to customer service are likely to help in growing the support to its share price. As the bank continues to expand its operations and customer base, the share price is expected to grow in the years ahead.
