Sales have grown from around Rs.26k million to around Rs.99k million from 2000 to 2009. Profits have grown from around Rs.2k million to around Rs.9k million from 2000 to 2009.
Syndicate Bank has been earning a return of at least 19% on its net worth per year from 2000 to 2009. It has earnings per share of around Rs. 20 in the last 12 months.
Syndicate Bank has a cash and bank balance of around Rs.144k million. It has net current assets of around Rs.918k million. It has investments of around Rs. 305k million. It has a net worth of around Rs.50k million. It has a market capitalization of around Rs.46k million.
At a market price of around Rs.88.90 and earnings of around Rs. 20 the rate of return is more than 20 per cent ! The value of the company according to me should be around Rs.200.
Syndicate Bank is a Public Sector Bank and has a Debt Equity Ratio of 25.22. Competitors are SBI, PNB, Bank of India, Bank of Baroda and Canara Bank.
1 comment:
Bank sector always have huge debt because of the issued loan. Syndicate banks growth and management initiative to increase the business in impressive. this is a good long term buy.
thanks Dilip.
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