DCB Bank Ltd (DCBBANK) — share price & stock analysis

Market cap

₹5,966 Cr

P/BV

0.91×

ROE

12.0%

vs own 10-yr valuation

40th pctile

Book value / share

₹203

EPS (TTM)

₹22.6

10-yr median P/BV

0.9×

Revenue (FY26)

₹7,404 Cr

Profit after tax (FY26)

₹732 Cr

Weinstein stage

Stage 2 (36 weeks)

Data as of

1 July 2026

5 of the 5 things we track are currently moving the right way — nearly everything is pulling in the same direction.

Where the levels actually stand: ROE 12% — below what a bank must earn to create value; GNPA 2.5% — workable, not pristine; the spread is near its 13-year low. Momentum says which way things are moving; these say where they are.

Read this number for what it is: it measures the DIRECTION of change, not the quality of the business. A mediocre business getting better scores high here; a great one having a soft quarter scores low. Profit, lending and bad loans count double, and a quarter of the score comes from our earnings-recovery lens (is the profit cycle turning up off its trough?).

The business grew faster than the stock

Since Apr 2016, earnings per share grew 231% while the stock is up 122%. The business has outrun its own share price.pricettm_eps

But the cheapness has a reason: a bank earning about 12% on its equity is worth less per rupee of book, and the market has repriced what that is worth — it hasn’t overlooked it. The gap closes only if the returns themselves improve.roe

Today’s P/BV of 0.9× is the middle of its own range against its own 10-year history (40th percentile) — neither a bargain nor a stretch, by its own standards.pb_ratio

Price is the weekly close (₹). EPS is trailing-twelve-month profit per share, anchored on Screener's own snapshots; between snapshots it is filled from price ÷ P/E (an exact identity), and any fill straying more than 18% from the neighbouring snapshots is dropped rather than shown. The lower panel is the P/BV — what the market pays per rupee of book value; the dotted line is its long-run median (0.9×).

Stage 2: the trend is up, and has been for 36 weeks

Price trends have a life cycle: they base (1), advance (2), top out (3) and decline (4). This chart is in Stage 2: advancing — 36 weeks so far, confirmed.stage

The price sits above its rising 200-day average (₹171 today) — trends like this persist more often than they reverse, which is why the system rides them instead of guessing the top.dma_200

Beating NIFTY 500 for 43 weeks — relative strength is the market’s live opinion, and right now it is on this stock’s side.rs_mansfield

What would end it: two Friday closes in a row below the 200-day line. That is the house exit rule — mechanical, no debates.dma_200

Up in 10 of 12 years — the long arc of a compounder

Over 12 years, income went from ₹1,128 Cr to ₹7,404 Cr (about 17% a year), and profit from ₹151 Cr to ₹732 Cr.revenuenet_profit

The margin story is less kind: from 41.2% at the FY18 peak down to 33.2% now — near its 12-year low, though stabilising. The profit growth has come from volume, not richer economics.revenue−interest_expense

Interest income grew 10% — steady, not spectacular

Mar 26 income was ₹1,907 Cr, up 10% on a year ago. A bank grows by lending more and charging well — this line is both together.revenue

The squeeze is easing — the spread bottomed at 32% and is mending

Of every ₹100 of interest the bank earns, ₹66 goes straight out as interest on deposits and borrowings. It keeps ₹34 — up 2 points from a year ago.revenueinterest_expense

The visible arc: squeezed from 38% down to 32% (Mar 25) as deposits repriced faster than loans, and recovering since. The direction matters more than the level now.interest_expense

Bad loans are healing — from a worst of 3.4% (Dec 23) to 2.5%

₹2.5 of every ₹100 lent is currently stuck with borrowers who’ve stopped paying — down from ₹3.4 at the Dec 23 worst. After the money already set aside, the true exposure is 0.9%.gross_npa_pctnet_npa_pct

Falling bad loans still help — less new money needs setting aside — but this year’s profit growth is coming from the lending engine itself (interest income), not from provision releases. The healing cleans the book; the growth is earned.gross_npa_pctrevenue

Profit grew 16% year on year

Mar 26 profit was ₹206 Cr, up 16% on last year — earnings per share of ₹6.39.net_profiteps

Where the growth comes from matters: this year it is the lending engine — net interest income — doing the lifting, not one-off provision releases. That is the more durable kind.revenue

Priced mid-range against its own history

Today you pay ₹0.91 for every ₹1 of book value, against a long-run median of ₹0.90. It has traded cheaper than this only 40% of the time since 2016.pb_ratio

A Dec 25 event lifted promoter holding — not steady buying

Promoters hold 16.2% (up 1.5 points over 8 quarters). Foreign funds own 12.6%, domestic funds 32.8%.promoters_pctfiis_pctdiis_pct

The promoter move came in a single step (Dec 25) — promoters rarely buy on-market, so a jump like this is almost always an allotment, infusion or restructuring: a capital event, not a slow accumulation of conviction. Worth knowing which, before reading it as a signal.promoters_pct

Foreign funds tell the real story: they sold from 12.3% down to 9.6% (Mar 25), and have been buying back since — now 12.6%. A completed round trip like that usually means the doubts got answered.fiis_pct

Domestic funds ran the same arc — 39.7% down to 26.6%, back to 32.8% — though still well below where they began; the sellers have not fully returned.diis_pct

Strong on the data — worth the deeper look if the story keeps its promises

The numbers lean positive, and the discount to the delivery has a reason — the market prices what this level of profitability is worth.

Best thing in the data: bad loans improving (3.0% → 2.5%).gross_npa_pct

One dissent worth hearing: our valuation lens reads negative — “its fair-value math says the price sits about 15% above what the numbers justify”. When a lens disagrees with the committee, it is usually pointing at the thing that breaks first.

Machine-written research from Screener data — every number traces to its source column. Sector Alpha is not a SEBI-registered investment adviser; nothing here is a recommendation to buy or sell. Not investment advice.

Straight answers from the data