Growth Ratio Summary

Growth Score : 8.80

Canara Bank shows robust growth performance. Revenue growth, EPS growth, asset growth, and net income growth are all strong, indicating the company is expanding effectively. However, operating profit growth is weak, suggesting challenges in maintaining profitability as the company grows. These strong growth rates suggest the company is successfully expanding its operations and increasing its market presence. According to the weighted average calculation, the overall growth score is very favorable.

Financial Ratio Summary

Financial Score : 4.80

The financial ratios for Canara Bank indicate a mixed financial performance. Adjusted EPS and Cash EPS are moderate, suggesting reasonable profitability per share. Book value per share is also moderate, reflecting an adequate net asset value. Dividend per share is at a fair level, indicating some return to shareholders. However, capital expenditures are low, potentially limiting investments in future growth. The weighted average calculation reflects a moderate financial score.

Profitability Ratio Summary

Profitability Score : 6.80

Canara Bank displays a mix of profitability metrics. Return on capital employed and return on equity are very high, reflecting efficient use of capital and equity to generate profits. However, gross profit margin, return on assets, and operating margin are weak, indicating challenges in core operational profitability. Net margin is strong, suggesting effective management of expenses. The weighted average calculation results in a moderate profitability score.

Efficiency Ratio Summary

Efficiency Score : 6.00

The efficiency ratios for Canara Bank present a mixed picture. Fixed asset turnover is very high, indicating efficient use of fixed assets to generate revenue. However, inventory and receivables turnover ratios are poor, suggesting inefficiencies in managing these assets. The days sales in inventory and receivable days are favorable, but this is due to the nature of the financial services industry where inventory and receivables are not significant. Capital turnover is also low, indicating inefficient use of capital. According to the weighted average calculation, there is room for improvement in overall efficiency.

Coverage Ratio Summary

Coverage Score : 6.40

Canara Bank's coverage ratios present a mixed assessment. The interest coverage ratio is low, indicating a limited ability to cover interest expenses with its earnings. However, the equity dividend coverage ratio is very strong, showing a substantial capacity to cover dividend payments with available equity. The weighted average calculation suggests a moderate coverage score due to these offsetting factors.

Solvency Ratio Summary

Solvency Score : 2.80

Canara Bank's solvency ratios indicate high financial leverage. The debt ratio is high, showing a significant portion of assets are financed by debt. The debt-to-equity ratio is also very high, suggesting aggressive financing through debt. The equity ratio is low, indicating a smaller proportion of equity financing. The debt-to-asset ratio is high but slightly better, showing a reasonable level of asset backing for the debt. The weighted average calculation reflects a concerning solvency position.

Liquidity Ratio Summary

Liquidity Score : 8.38

The liquidity position of Canara Bank is strong. The current and quick ratios indicate a robust ability to meet short-term obligations. The cash ratio is also healthy, suggesting a good level of readily available funds. However, the operating cash flow ratio is weak, indicating challenges in generating cash from operations. The high current and quick ratios imply the bank can comfortably cover its short-term liabilities with its current assets. According to the weighted average calculation, this mixed performance results in a good liquidity score.