In Week of Mar 28, 2026, Union Bank of India (Banks - PSU) is outperforming Nifty 500 with +28.4% relative strength. Fundamentals: Strong. On a 12-week streak.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Feb 22, 2026
What: Shedding ₹40,000 cr high-cost bulk deposits driving 10-15 bps NIM expansion
Impact: +₹750 Cr revenue
“Management stated: 'We have shed off 40,000 crores of our bulk deposit which actually helped us in reducing the LCR requirement'”
What: GNPA down 120 bps YoY with PCR above 95% enabling credit cost to fall to 0.60%
Impact: +₹300 Cr revenue
“Management stated: 'Asset quality remained strong, with GNPA and NNPA reducing and PCR above 95%'”
What: Retail, Agriculture, MSME segment growing at 15%+ with 200 bps higher yields
Impact: +₹1200 Cr revenue
“Management stated: 'The bank reported robust growth in the RAM (Retail, Agriculture, MSME) sector, with significant increases in Retail and Agri advances'”
Earnings deceleration risks from management commentary
Trigger: If deposit rate wars intensify
Impact: -10 bps margin impact
Management view: Management stated: 'We are addressing the credit growth at least in this quarter we are positive 4%. And going forward you excess money has cost more rather than creating a value more'.
Monitor: CASA ratio trend
Trigger: If CV segment stress materializes
Impact: -25 bps margin impact
Management view: Management stated: 'While difficulties in unsecured retail business showing improvement we remain cautious on retail commercial vehicle segment'
Monitor: CV segment slippages
Key quotes from recent conference calls
“The Net Interest Margin (NIM) was reported at 2.76% for December 2025, showing a slight decrease from 2.91% in December 2024 but an increase from the previous quarter, attributed to strategic portfolio management including shedding high-cost bulk deposits and contracting the treasury book — Shri Asheesh Pandey”
“Asset quality remained strong, with GNPA and NNPA reducing and PCR above 95% — Shri Asheesh Pandey”
“We have crossed ₹10 lakh crore in advances for the first time — Shri Asheesh Pandey”
“The bank is also focusing on digital initiatives, including a new digital business vertical — Shri Asheesh Pandey”
Forward-looking targets from management for FY26
Implied PAT Growth
15%
Credit Growth Target
12%
NIM Guidance
2.85%
Key Milestones
• CASA ratio target 45% by FY27
• Cost-to-income below 40% by FY27
• Loan growth 12%+ for FY26
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +0% | +17% | Stable |
| PAT (Net Profit) | +10% | +51% | Stable |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
Union Bank of India's latest quarterly results (Dec 2025) show
Union Bank of India's profit is growing with an stable trend.
Union Bank of India's revenue growth trend is stable.
Union Bank of India's asset quality trend is improving.
Union Bank of India's long-term compounding rates
Union Bank of India's earnings growth is stable with improving on a sequential basis.
Union Bank of India's trailing twelve month (TTM) performance
Union Bank of India appears significantly undervalued based on our fair value analysis.
Union Bank of India's current PE ratio is 7.1x.
Union Bank of India's current PE is 7.1x.
Union Bank of India's price-to-book ratio is 1.0x.
Union Bank of India is rated Strong with a fundamental score of 74.54/100. This score is calculated from objective financial metrics
Union Bank of India has a debt-to-equity ratio of N/A.
Union Bank of India's return ratios over recent years
Union Bank of India's operating cash flow is positive (FY2025).
Union Bank of India's current dividend yield is 2.71%.
Union Bank of India's shareholding pattern (Dec 2025)
Union Bank of India's promoter holding has remained stable recently.
Union Bank of India has been outperforming Nifty 500 for 12 consecutive weeks, indicating strong sustained outperformance.
Union Bank of India is an established outperformer with 12 weeks of consecutive Nifty 500 outperformance.
Union Bank of India has 3 key growth catalysts identified from recent earnings analysis
Union Bank of India has 2 key risks worth monitoring
In Q3 FY26, Union Bank of India's management highlighted
Union Bank of India's management has provided the following forward guidance for FY26
Based on quantitative research signals, here is why Union Bank of India may be worth studying
Union Bank of India investment thesis summary:
Union Bank of India's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
