| COMPANY NAME | CAPITAL SMALL FINANCE BANK |
| NATURE OF BUSINESS | BANKING & FINANCE |
| ISIN NO | INE:646H01017 |
| FACE VALUE | Rs.10/- |
| PROMOTERS | SARVJIT SINGH SAMRA |
| COMPANY WEBSITE | www.capitalbank.co.in |
CAPITAL SMALL FINANCE share price
The capital small finance share price is one of the most important factors to consider when investing in capital small finance bank shares.
The capital small finance share price is one of the most important factors to consider when investing in capital small finance bank shares. The share price is a reflection of the company’s financial strength and its ability to generate future profits. Over the past year, the share price has increased by 7% and is currently trading at Rs. 320 per equity share. This suggests that investors believe that capital small finance is a well-run business with potential for future growth.
Another important factor to consider when investing in capital small finance shares is the company’s debt burden. Capital small finance has a low debt burden relative to its competitors, which indicates that the company has sufficient cash reserves to cover potential liabilities in the future. This makes capital small finance a good option for investors who are looking for banks with strong financial foundations.
Is the capital small finance bank ipo good for investment?
There is no one-size-fits-all answer to this question. Ultimately, you need to decide if the capital small finance bank ipo is a good investment for you based on your individual financial situation and goals.
If you are looking for a high-yield investment, then a capital small finance share price may not be the best option for you. On the other hand, if you are looking for a safe and low-risk investment, then a capital small finance bank ipo could be an excellent choice. Before making any investment decisions, it is important to carefully consider your individual financial situation and goals.?
In general, capital small finance share prices tend to rise quickly during their initial stages of trading. This is because investors are eager to get their hands on newly issued shares. However, over time the share price generally falls back down to Earth as more information about the company becomes available.?
There are many factors that can affect the capital small finance bank ipo share price including economic conditions, regulatory changes, and news stories about the company. Therefore, it is important to do your own research before investing in any new stock.?
It has been reported that the capital small finance share price is determined by a number of factors, including how well the bank is doing, its earnings, and whether it is ipo (initial public offering).
How is the Capital Small Finance Bank Share Price Determined?
There are a number of ways in which the capital small finance share price can be determined. Some of the most common methods include earnings, the size of the bank, and its capitalization.
Earnings. Generally speaking, the higher the earnings of a company, the more expensive its stock will be. However, there are a number of factors that can influence an individual’s perception of earnings, such as whether or not a company is profitable or if it has been able to maintain consistent growth over time.
Size of Bank. As with earnings, bank size can also have a significant impact on the capital small finance share price. The greater the bank’s assets and liabilities, the more expensive its stock will be. This is because banks are considered to be riskier investments than companies that primarily focus on profits and/or cash flow generation.?
Capitalization. Capitalization refers to how much money a company has available to invest in its business activities.? The higher a company’s capitalization, the more expensive its stock will be.?
Is the Capital Small Finance Bank IPO Good for Investment?
There is no one-size-fits-all answer to this question, as the decision to invest in a capital small finance bank share may depend on a number of factors, including your investment goals and risk tolerance. However, we believe that it is a good idea to do your homework before investing in any new stock.
Latest News
FINANCIAL PERFORMANCE The Bank has shown all round excellent performance during the year March 31, 2021 despite loss of business during the fag end of the financial year due to COVID-19 pandemic. Moreover, there has been higher provisioning caused due to relief measures provided by Bank to its customers. In the last three years, the Compounded Annual Growth Rate (CAGR) of Deposits is 25.0%. Inspite of COVID-19 pandemic effect during the fag end of the financial year and higher provisioning, the Bank has shown handsome growth in profit. There has been a growth in the branch network from 150 as on March 31, 2020 to 158 as on March 31, 2021.
Capital Small Finance Bank Limited, India’s 1st Small Finance Bank, started operations on April 24, 2016. Capital Local Area Bank, along with nine other entities, was granted in-principle approval by the Reserve Bank of India to set up ‘Small Finance Bank’ on September 16, 2015.
Capital Local Area Bank, the largest Local Area Bank in the country, before conversion to ‘Small Finance Bank’ has been into operations for last 16 years with excellent performance in all spheres. The Bank has been operating in three contiguous Districts of Jalandhar, Kapurthala and Hoshiarpur in Punjab for the initial 13 years. In January 2013, the Reserve Bank of India accorded the approval for expansion in the Bank’s area of operation to two more Districts of Ludhiana and Amritsar in Punjab.
The Bank pioneered in bringing modern banking facilities to the rural areas at low cost. The Bank introduced 7-Day branch banking with extended banking hours since its first day of operations. The focus to serve common man and the local touch advantage has given the Bank a competitive edge over other banks operating in the region. Within a short period, most of the branches become market leaders of their respective centres. The Bank is providing safe, efficient and service oriented repository of savings to the local community while reducing their dependence on moneylenders by making need based credit easily available.
The Bank transitioned from a Local Area Bank to Small Finance Bank with 47 Branches. In a short span, 103 new Branches have become operational, taking the total number of Branches to 150. After establishing a strong footprint in the state of Punjab, the Bank has now started expansion to the states of Delhi, Haryana, Rajasthan along with Union Territory of Chandiagarh.
Capital Small Finance Bank has been granted Scheduled Status by the Reserve Bank of India vide Notification dated February 16, 2017.The total business of the Bank has crossed Rs.7,600 crores with over 6,90,000 accounts. The Bank has 80% of its business in rural and semi urban areas, with priority sector lending of 81.28% of the Adjusted Net Bank Credit as on March 31, 2019. The Bank is extending loans primarily to small borrowers. As on March 31, 2019, 54.10% of the total advances are up to the ticket size of Rs.25 lacs.
Conversion of the Bank to Small Finance Bank has removed the geographical barriers for expansion, resulting in exponential growth of the Bank in all spheres. The business of the Bank is expected to grow to Rs.18,000 crores by March 31, 2023 with 265 number of Branches.
Small finance banks are a type of nichebanks in India. Banks with a small finance bank license can provide basic banking service of acceptance of deposits and lending. The aim behind these to provide financial inclusion to sections of the economy not being served by other banks, such as small business units, small and marginal farmers, micro and small industries and unorganised sector entities. The small finance bank, in furtherance of the objectives for which it is set up, shall primarily undertake basic banking activities of acceptance of deposits and lending to unserved and underserved sections including small business units, small and marginal farmers, micro and small industries and unorganised sector entities. It can also undertake other non-risk sharing simple financial services activities, not requiring any commitment of own fund, such as distribution of mutual fund units, insurance products, pension products, etc. with the prior approval of the RBI and after complying with the requirements of the sectoral regulator for such products. The small finance bank can also become a Category II Authorised Dealer in foreign exchange business for its clients’ requirements. It cannot set up subsidiaries to undertake non-banking financial services activities.
The annual branch expansion plans of the small finance banks for the initial five years would need prior approval of RBI. The annual branch expansion plans should be in compliance with the requirement of opening at least 25 per cent of its branches in unbanked rural centres (population up to 9,999 as per the latest census.
