IDFC First BankBOM:539437 +0.83%77 ROE % is 2.79% as of Mar. 2026, which is 30% below its 10-year median of 4.00. GuruFocus rates BOM:539437 with a GF Score™ of 77/100 and a GF Value™ of ₹77.93 (Fairly Valued). The stock has 8 warning signs investors should review. Among 1,525 Banks companies, IDFC First Bank ranks worse than 87.08% on this metric.
The historical rank and industry rank for IDFC First Bank's ROE % or its related term are showing as below:
BOM:539437'
s ROE % Range Over the Past 10 Years
Min: -16.92 Med: 4 Max: 10.59
Current: 3.77
During the past 12 years, IDFC First Bank's highest ROE % was 10.59%. The lowest was -16.92%. And the median was 4.00%.
BOM:539437's ROE % is ranked worse than 87.08% of 1525
companies
in the Banks industry
Industry Median: 10.22
vs BOM:539437: 3.77
IDFC First Bank (BOM:539437) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* 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.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
IDFC First Bank ROE % Related Terms
IDFC First Bank ROE % Historical Data
* Premium members only.
The historical data trend for IDFC First Bank's ROE % can be seen below:
* 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, IDFC First Bank's ROE %, along with its competitors' market caps and ROE % 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.
IDFC First Bank ROE % vs Banks Industry
For the Banks industry and Financial Services sector, IDFC First Bank's ROE % distribution charts can be found below:
* The bar in red indicates where IDFC First Bank's ROE % 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.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
IDFC First Bank (BOM:539437) has a ROE % of 2.79% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on IDFC First Bank and its competitors. This is 30% below median its historical median of 4.00. According to the industry distribution chart, IDFC First Bank ranks #1328 out of 1525 companies in the Banks industry, placing it in the top 87.1%.
Is IDFC First Bank's ROE % too high?
IDFC First Bank's current ROE % of 2.79% is 30% below median its 10-year median of 4.00. The Banks industry median ROE % is 10.22. IDFC First Bank's value of 2.79% is 72.7% below this industry median. Based on the distribution chart, IDFC First Bank ranks #1328 out of 1525 companies in the Banks industry, which is in the bottom quartile relative to peers. Overall, IDFC First Bank has a GF Score™ of 77/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does IDFC First Bank's ROE % compare to competitors?
According to the Banks industry distribution chart, IDFC First Bank ranks #1328 out of 1525 companies for ROE %. This places IDFC First Bank in the lower half of its industry. The industry median ROE % is 10.22. IDFC First Bank's value of 2.79% is 72.7% below this benchmark. While the company's 10-year median is 4.00 vs. the industry median of 10.22, IDFC First 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 ROE % for a Banks company?
The median ROE % among Banks companies is 10.22, based on 1,525 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. IDFC First Bank's current ROE % of 2.79% is 72.7% 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on IDFC First Bank and its competitors. For the Banks industry, the median ROE % is 10.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. IDFC First Bank's current ROE % is 2.79%, which is 30% below median its own 10-year median of 4.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is IDFC First Bank stock overvalued right now?
Based on GuruFocus' analysis, IDFC First Bank (BOM:539437) is currently considered Fairly Valued. The stock's GF Value™ is ₹77.93, compared to a current price of ₹81.12 — trading 4.1% above its estimated fair value. The current ROE % is 2.79%, which is 30% below median its 10-year median of 4.00 and 72.7% below the Banks industry median of 10.22. IDFC First Bank's overall GF Score™ is 77/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For IDFC First Bank (BOM:539437), the current ROE % is 2.79% as of Mar. 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 IDFC First Bank (BOM:539437) Overvalued in 2026?
Based on GuruFocus' analysis, IDFC First Bank stock appears to be overvalued.
The current stock price of ₹81.12 is trading 4.1% above its estimated GF Value™ of ₹77.93.
GuruFocus considers IDFC First Bank to be Fairly Valued.
Key valuation signals for BOM:539437:
ROE %: 2.79% (30% below median its 10-year median of 4.00)
GF Value™: ₹77.93 vs. price of ₹81.12 (4.1% above fair value)
Industry Position: 72.7% below the Banks median (#1328 of 1525)
No single metric tells the full story. See the BOM:539437 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
IDFC First Bank Ltd provides banking services including lending to individuals, providing loans, non-fund facilities, transaction services, corporate advisory, project appraisal placement, and syndication through the branch network and other delivery channels. The bank holds an investment portfolio, money market borrowing and lending, investment operations, and an entire foreign exchange and derivative portfolio. It organizes its business into four segments namely Treasury, Corporate and Wholesale, Retail, and Other Banking Business. The company generates maximum revenue from the Retail banking segment.
77GF Score
Get the complete analysis for BOM:539437
ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BOM:539437 has been successfully added to your 
