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Capital Small Finance Bank (BOM:544120) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Capital Small Finance Bank Net Margin % Related Terms
Capital Small Finance Bank Net Margin % Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Banks - Regional subindustry, Capital Small Finance Bank's Net Margin %, along with its competitors' market caps and Net Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Capital Small Finance Bank Net Margin % vs Banks Industry
For the Banks industry and Financial Services sector, Capital Small Finance Bank's Net Margin % distribution charts can be found below:
* The bar in red indicates where Capital Small Finance Bank's Net Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Capital Small Finance Bank (BOM:544120) has a Net Margin % of 25.87% as of Jun. 2026. Net margin is the ratio of total net income to net sales. View historical data on Capital Small Finance Bank and its competitors. This is near median its historical median of 25.23. Over the past decade, Capital Small Finance Bank's Net Margin % has ranged from 16.68 to 27.00. According to the industry distribution chart, Capital Small Finance Bank ranks #839 out of 1528 companies in the Banks industry, placing it in the top 54.9%.
Is Capital Small Finance Bank's Net Margin % too high?
Capital Small Finance Bank's current Net Margin % of 25.87% is near median its 10-year median of 25.23. Over the past 10 years, this metric has ranged from a low of 16.68 to a high of 27.00. The Banks industry median Net Margin % is 27.20. Capital Small Finance Bank's value of 25.87% is 4.9% below this industry median. Based on the distribution chart, Capital Small Finance Bank ranks #839 out of 1528 companies in the Banks industry, which is below the industry midpoint. Overall, Capital Small Finance Bank has a GF Score™ of 49/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Capital Small Finance Bank's Net Margin % compare to PNC?
According to the Banks industry distribution chart, Capital Small Finance Bank ranks #839 out of 1528 companies for Net Margin %. This places Capital Small Finance Bank in the lower half of its industry. The industry median Net Margin % is 27.20. Capital Small Finance Bank's value of 25.87% is 4.9% below this benchmark. Historically, Capital Small Finance Bank's own Net Margin % has ranged from 16.68 to 27.00 over the past decade. While the company's 10-year median is 25.23 vs. the industry median of 27.20, Capital Small Finance Bank has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Margin % for a Banks company?
The median Net Margin % among Banks companies is 27.20, based on 1,528 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Capital Small Finance Bank's current Net Margin % of 25.87% is 4.9% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Capital Small Finance Bank and its competitors. For the Banks industry, the median Net Margin % is 27.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Capital Small Finance Bank's current Net Margin % is 25.87%, which is near median its own 10-year median of 25.23. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Capital Small Finance Bank stock overvalued right now?
Based on GuruFocus' analysis, Capital Small Finance Bank (BOM:544120) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹351.94, compared to a current price of ₹285.30 — trading 18.9% below its estimated fair value. The current Net Margin % is 25.87%, which is near median its 10-year median of 25.23 and 4.9% below the Banks industry median of 27.20. Capital Small Finance Bank's overall GF Score™ is 49/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Capital Small Finance Bank (BOM:544120), the current Net Margin % is 25.87% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Capital Small Finance Bank (BOM:544120) Overvalued in 2026?
Based on GuruFocus' analysis, Capital Small Finance Bank stock appears to be undervalued.
The current stock price of ₹285.30 is trading 18.9% below its estimated GF Value™ of ₹351.94.
GuruFocus considers Capital Small Finance Bank to be Modestly Undervalued.
Key valuation signals for BOM:544120:
Net Margin %: 25.87% (near median its 10-year median of 25.23)
GF Value™: ₹351.94 vs. price of ₹285.30 (18.9% below fair value)
Industry Position: 4.9% below the Banks median (#839 of 1528)
No single metric tells the full story. See the BOM:544120 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Capital Small Finance Bank Ltd is India's first small finance bank. It offers a range of banking products such as saving accounts, Current Accounts, Term deposits, agriculture loans, MSME and trading loans (working capital, machinery loans, etc.), and mortgages (housing loans and loans against property) and operates in Punjab, Haryana, Delhi, Rajasthan, Himachal Pradesh and Union Territory of Chandigarh. It has four segments, namely Treasury, Wholesale Banking, Retail Banking, and Other Banking Operations. Maximum revenue is generated from the Retail Banking segment.
49GF Score
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Net Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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