Union Bank of India
NSE: UNIONBANKUnion Bank of India: A 30-second snapshot
Union Bank of India (UNIONBANK) trades at ₹162.54, a PE of 6.38 against a sector peer range of 15–66, with an ROE of 15.71% and a 2.98% dividend yield. The stock is above its 200-DMA (₹159.82) but 5.97% below its 50-DMA (₹172.28), and has retraced 19.35% over the past 3 months after delivering 17.5% price appreciation over 1 year. A quality score of 61/100 ranks it first among the 6 tracked Banking peers.
P/E
6.4
Forward P/E
6.3
ROE
+15.7%
Debt / Equity
—
Profit Margin
+35.7%
Div. Yield
+3.0%
5Y ROE > 15%
1/5
5Y FCF > 0
2/5
Quality
63/100
News
8 headlines · 3 positive · 0 negative
Union Bank of India Q2 Results 2026 - Find Union Bank of India Q2 Earnings Result | UNIONBANK Q2 results - Mint
Mint
Union Bank Of India To Raise Capital By An Amount Not Exceeding 80 Billion Rupees - TradingView
TradingView
Union Bank board approves ₹8,000 crore fund raise via equity and debt - CNBC TV18
CNBC TV18
These 6 banking stocks have an upside potential of up to 24% in 1 year, according to analysts - The Economic Times
The Economic Times
Union Bank of India Apprentice Recruitment 2026 Out, Apply Online For 1865 Posts - PW
PW
Recent context
- ·Union Bank board approved raising up to ₹8,000 crore (not exceeding ₹80 billion) through equity and debt instruments — announced 26 May 2026 per CNBC TV18 and TradingView reports.
- ·Q2 FY26 results coverage appeared in Mint (29 May 2026); the news sentiment across 8 tracked items is 3 positive, 5 neutral, 0 negative — though headline results and market price movement (down 19.35% over 3 months) have diverged.
- ·A 1,865-post apprentice recruitment drive (2026) signals operational expansion at the branch/service level, consistent with the broader capital raise and growth orientation reported in recent filings.
Strengths
- +PE of 6.38 is the lowest in the 6-stock peer group — next lowest is AXISBANK at 15.09, and BAJFINANCE/BAJAJFINSV trade above 28 — placing UNIONBANK at a pronounced valuation discount relative to peers on this metric.
- +Quality score of 61/100 ranks first among 6 tracked Banking peers (AXISBANK 50, HDFCBANK 50, BAJFINANCE 53, BAJAJFINSV 23, HDFCLIFE 20).
- +ROE of 15.71% is the second highest in the peer group (BAJFINANCE 17.91% is highest), above HDFCBANK (13.82%), AXISBANK (13.15%), BAJAJFINSV (14.6%), and HDFCLIFE (11.28%).
- +Dividend yield of 2.98% represents a cash return component; the stock trades above its 200-DMA of ₹159.82, with the long-term moving average providing a reference point for the broader trend.
Weaknesses
- −ROE of 15.71% was above 15% in only 1 of the tracked historical years, with a consistency score of 40/100 — the current return level lacks multi-year confirmation.
- −FCF was positive in only 2 of the tracked years and the debt trend is classified as rising, with key leverage metrics (debtToEquity, 5-year growth rates) absent from the available data.
- −Price has declined 19.35% over 3 months and sits 20.9% below its 52-week high; RSI at 42.13 is in neutral-to-weak territory with a single identified support at ₹156.21.
- −The capital raise announced in May 2026 (up to ₹8,000 crore via equity and debt) introduces potential dilution risk for existing equity holders, the scale and mix of which depends on the final execution structure.
Open questions
- ?Does the single year of ROE above 15% reflect a one-time improvement in asset quality or the beginning of a structural shift in the bank's earnings profile?
- ?How would the composition of the ₹8,000 crore capital raise — equity vs. debt — affect the existing equity base, and does the bank's current CET-1 ratio suggest regulatory necessity or growth optionality?
- ?What drove the 19.35% price decline over 3 months despite positive news sentiment, and do NII trajectory or provisioning trends explain the gap between headline net profit growth and market reaction?
- ?How does the PE discount relative to private-sector peers (6.38 vs. 15–29 range) compare historically, and has that discount narrowed or widened over the past 3–5 years?
Peer comparison: Banking
Ranks 1 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| UNIONBANK | Union Bank of IndiaYou're viewing | 6.4 | +15.7% | 61 |
| Industry avg | across 5 peers | 31.2 | +14.2% | 39 |
| BAJFINANCE | Bajaj Finance Ltd. | 29.1 | +17.9% | 53 |
| AXISBANK | Axis Bank Ltd. | 15.1 | +13.2% | 50 |
| HDFCBANK | HDFC Bank Ltd. | 16.6 | +13.8% | 50 |
| BAJAJFINSV | Bajaj Finserv Ltd. | 28.8 | +14.6% | 23 |
| HDFCLIFE | HDFC Life Insurance Company Ltd. | 66.2 | +11.3% | 20 |
Technical state
Current price
₹162.54
SMA 50
₹172.28
SMA 200
₹159.82
RSI (14)
42.1 (neutral)
From 52w high
-20.9%
1Y return
+17.5%
3M return
-19.4%
50-DMA
Below
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- mediumROE of 15.71% exceeded 15% in only 1 of the tracked historical years, with a consistency score of 40/100 — the current profitability level has not been sustained across the available period.
- mediumFCF was positive in only 2 of the tracked years and the debt trend is classified as rising — a combination that signals structural leverage build-up.
- mediumPrice is 19.35% lower over 3 months and 5.97% below the 50-DMA (₹162.54 vs 50-DMA ₹172.28), with RSI at 42.13 and only one identified support level at ₹156.21 — roughly 3.9% below current price.
- lowdebtToEquity, 5-year revenue growth, and 5-year earnings growth fields are all null, limiting the ability to assess leverage trajectory or long-run earnings quality against sector peers.
- low1-year price change data is null for all 5 sector peers in the peer table, making relative price-performance ranking unavailable for this run.
Cross-section contradictions
- Price is up 17.5% over 1 year yet down 19.35% over 3 months and 20.9% below the 52-week high — the annual gain has been substantially retraced in recent months.
- The stock trades at PE of 6.38, the lowest among the 6-stock peer group (next lowest: AXISBANK at 15.09), while posting the second-highest ROE of 15.71% — a valuation-quality divergence relative to private-sector peers.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 1 Jun 2026 · rotates through NIFTY 500 every ~5 days