The below table shows the best banking stocks in India based on the highest market capitalization.
| Sl No. | Stock Name | Market Cap (₹ Cr) | Closing Price (₹) |
| 1 | HDFC Bank Ltd | 8,05,722.42 | 1,446.55 |
| 2 | ICICI Bank Ltd | 6,16,965.70 | 885.2 |
| 3 | State Bank of India | 4,85,185.88 | 543.65 |
| 4 | Kotak Mahindra Bank Ltd | 3,69,498.97 | 1,858.15 |
| 5 | Axis Bank Ltd | 2,50,139.49 | 814.15 |
| 6 | Indusind Bank Ltd | 92,999.75 | 1,199.65 |
| 7 | Bank of Baroda Ltd | 70,408.10 | 136.15 |
| 8 | IDBI Bank Ltd | 46,074.04 | 42.85 |
| 9 | Bandhan Bank Ltd | 43,282.84 | 268.7 |
| 10 | Canara Bank Ltd | 43,067.45 | 237.4 |
It is believed traditionally that depositing your money in the bank is one of the safest forms of investment. Although banks promise a fixed growth rate, it is significantly less than the growth on investment obtained from the share market.
Let me explain the reason behind it. The inflation rate in India is growing at the rate of about 5%, which we don’t have control over, but the interest rate that banks offer is 3-4%.
To understand this in a simpler way, if you keep your money in a bank, it will grow at the rate of 3-4% PA, but your expenses are growing at the rate of 5% PA. We have to consider investing in the Share market as the returns here are pretty high.
What if I tell you that you may get the share market returns while investing in Banks?
Yes, you read it right. I am talking about the best banking stocks in India to invest your money in.
As you read more through this article, you may find the best banking stocks to buy for 2022 in 3 different lists.
Content:
- Best Bank Stocks to Buy – Highest Dividend
- Best Bank Stocks – Highest EPS
- Best Bank Stocks – Net Profit Margin
Best Bank Stocks to Buy – Highest Dividend
So, the list below is the collection of the best banking stocks in India based on the dividend offered per share over the past year.
| Sl No. | Stock Name | Close Price | Dividend per Share (₹) |
| 1 | HDFC Bank Ltd | 1,351.10 | 15.50 |
| 2 | Indusind Bank Ltd | 913.20 | 8.50 |
| 3 | State Bank of India | 461.85 | 7.10 |
| 4 | Canara Bank Ltd | 207.95 | 6.50 |
| 5 | Indian Bank | 163.50 | 6.50 |
| 6 | ICICI Bank Ltd | 720.00 | 5 |
| 7 | Karnataka Bank Ltd | 65.05 | 4 |
| 8 | Bank of Baroda Ltd | 105.10 | 2.85 |
| 9 | Bank of India Ltd | 46.15 | 2 |
| 10 | Union Bank of India Ltd | 37.20 | 1.90 |
- HDFC Bank Ltd
HDFC Bank is one of the leading and biggest private sector banks in India; it was best-trusted and also the first to get RBI’s approval for a private sector bank in 1994. With over 5608 branches and 16087 ATMs in 2902 Cities, it has a pretty vast network throughout the country.
HDFC is a Large-Cap banking stock in India and one of the largest in terms of Market-Capitalization. The earning per share with HDFC bank is Rs.57.9, which is the highest in its segment. This bank has performed so well over the years that it tops our list of best bank stocks to buy.
HDFC Bank stands as the top bank in India, with a Market Capitalization of ₹ 7,59,180.39 Crore. The closing price of the stock is ₹ 1,351.10, with an all-time high of ₹ 1,725.00 and an all-time low of ₹ 16.36.
- Indusind Bank Ltd
Indusind Bank Ltd was established in 1994, and this award-winning bank has a good network with over 5000 distribution points and nearly 2000 branches serving 2.5 crore customers.
Talking about its stock, Indusind Bank is a Large-Cap Company, and it is also one of the best banking stocks in terms of earnings per share. Hence, it tops our list of best bank stocks to buy. The Market Capitalization of this bank is reported at ₹ 70,801.17 Crore. The closing price of the stock is ₹ 913.20, with an all-time high of ₹ 2,038.00 and an all-time low of ₹ 8.50.
- State Bank of India
I don’t think this bank needs any introduction. Every Indian Pincode has a branch of this biggest bank in the country. SBI was established in 1806 and has successfully carried its legacy and heritage for over 200 years. SBI is a multinational corporation, and its presence can be noticed in 32 countries.
I’m also proud to know that SBI is a Fortune 500 company. Being the biggest bank in the country, SBI is a Large-Cap stock, and it has managed to offer quite impressive earnings per share. We undoubtedly had to consider this stock in our list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 4,20,616.94 Crore. The closing price of the stock is ₹ 461.85, with an all-time high of ₹ 549.00 and an all-time low of ₹13.21.
- Canara Bank Ltd
Canara Bank is among the largest public sector banks in India. Established in 1906, it has shown continuous growth over 100 years. Canara Bank can be considered a game-changer of India’s banking sector on many factors, to name a few we have; first intercity ATM network, ISO certification, exclusive Mahila banking branch, and credit cards for farmers’ agricultural consultancy services.
Looking into its network, Canara Bank has one of the largest networks in the country, with 10491 branches and 12973 ATMs. It also has its presence in 7 international cities. This Large-Cap Banking stock provides an appreciable earning per share to boost your ROI, and hence, it is on the list of best banking stocks to buy.
The Market Capitalization of this bank is reported at ₹ 38,260.01 Crore. The closing price of the stock is ₹ 207.95, with an all-time high of ₹ 821.12 and an all-time low of ₹ 40.71.
- Indian Bank
Indian bank is a public sector bank established in 1907. It serves over 10 crores customers with 6006 branches and 5428 ATMs and has its presence in 75 countries. The bank is valued at Rs.4,30,000 crores. Indian bank is a Mid-Cap Banking stock that offers a good earning per share, making it one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 20,250.87 Crore. The closing price of the stock is ₹ 163.50, with an all-time high of ₹ 427.40 and an all-time low of ₹ 41.55.
- ICICI Bank Ltd
ICICI Bank is one of the biggest private banks in India. Its total assets were valued at Rs.14.76 trillion in 2020. Its network is so strong that it has 5288 branches with 15,158 ATMs across the country.
A Large-Cap Banking stock with a promising earning per share makes it one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 5,07,245.27 Crore. The closing price of the stock is ₹ 720, with an all-time high of ₹ 867.00 and an all-time low of ₹11.41.
- Karnataka Bank Ltd
Incorporated in 1924, it is one of India’s oldest and best-trusted banks. With 97 years of experience and serving its one crore customers, they have 858 branches and over 1000 ATMs spread across 22 states and 2 Union Territories. Karnataka Bank is the only Small-Cap banking stock listed in the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 2,069.24 Crore. The closing price of the stock is ₹ 65.05, with an all-time high of ₹ 194.95 and an all-time low of ₹ 5.43.
- Bank of Baroda Ltd
Bank of Baroda or BOB is a government bank founded in 1908 and running successfully for more than 100 years with over 13 crore customers. BOB is a multinational bank with a presence in more than 100 countries. Bank of Baroda was also ranked 1145 on Forbes Global 2000 Companies list.
With the merger of Vijaya Bank and Dena Bank in Bank of Baroda, BOB is now the third-largest bank in India after SBI and ICICI Bank.
This Large-Cap banking stock is also totally debt-free and is a good investment scope, so it is on the list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 53,549.46 Crore. The closing price of the stock is ₹ 105.10, with an all-time high of ₹ 228.90 and an all-time low of ₹ 6.30.
- Bank Of India
The Bank of India (BOI) is a state-owned bank in India. It is owned by the Ministry of Finance, Government of India, and has its headquarters in Mumbai’s Bandra Kurla Complex. It was founded in 1906 and has been owned by the government since its nationalization in 1969. SWIFT (Society for Worldwide InterBank Financial Telecommunications) is a founding member of BoI, which facilitates the provision of cost-effective financial processing and communication services.
Bank of India’s total business as of 31 March 2021 was 1,037,549 crore (US$140 billion), with 5,108 branches and 5,551 ATMs around the world (including 24 overseas branches).
The Market Capitalization of this bank is reported at ₹ 19,208.17 Crore. The closing price of the stock is ₹ 46.15, with an all-time high of ₹ 589 and an all-time low of ₹ 8.80.
- Union Bank of India
Union Bank of India, also known as Union Bank or UBI, is an Indian government-owned bank with more than 120 million customers and US$106 billion in assets. [6] With around 9500 branches, the amalgamated entity became one of the largest PSU banks in terms of branch network after the merger with Corporation Bank and Andhra Bank, which took effect on April 1, 2020.
Hong Kong, Dubai, Antwerp, and Sydney are the locations of four of these. In addition to Shanghai, Beijing, and Abu Dhabi, UBI has representative offices in Shanghai, Beijing, and Abu Dhabi. Union Bank of India, UBI’s wholly owned subsidiary, operates in the United Kingdom (UK). With over 120 million customers and 77000 employees, the bank has a network of 9300 domestic branches, 11800 ATMs, and 8216 Business Correspondent Points.
The Market Capitalization of this bank is reported at ₹ 25,903.69 Crore. The closing price of the stock is ₹ 37.20, with an all-time high of ₹ 426.95 and an all-time low of ₹ 14.60.
Best Bank Stocks – Highest EPS
Answering which bank stock is best to buy, here is a list curated based on the highest-earning per share over the past year.
| Sl No. | Stock Name | Close Price | Highest EPS (₹) |
| 1 | HDFC Bank Ltd | 1,351.10 | 68.80 |
| 2 | Indusind Bank Ltd | 913.20 | 62.07 |
| 3 | Kotak Mahindra Bank Ltd | 1,791.80 | 60.76 |
| 4 | Axis Bank Ltd | 660.70 | 46.04 |
| 5 | ICICI Bank Ltd | 720.00 | 36.21 |
| 6 | State Bank of India | 461.85 | 35.49 |
| 7 | Canara Bank Ltd | 207.95 | 35.39 |
| 8 | Indian Bank | 163.50 | 34.88 |
| 9 | CSB Bank Ltd | 186.25 | 26.43 |
| 10 | Karnataka Bank Ltd | 65.05 | 16.36 |
- HDFC Bank Ltd
HDFC Bank is one of the leading and biggest private sector banks in India; it was best-trusted also the first to get RBI’s approval for a private sector bank in 1994. With over 5608 branches and 16087 ATMs in 2902 Cities, it has a pretty vast network throughout the country.
HDFC is a Large-Cap banking stock in India and one of the largest in terms of Market-Capitalization. The earning per share with HDFC bank is Rs.57.9, which is the highest in its segment. This bank has performed so well over the years that it tops our list of best bank stocks to buy.
HDFC Bank stands as the top bank in India with a Market Capitalization of ₹ 7,59,180.39 Crore. The closing price of the stock is ₹ 1,351.10 with an all-time high of ₹ 1,725.00 and an all-time low of ₹ 16.36.
- Indusind Bank Ltd
Indusind Bank Ltd was established in 1994, and this award-winning bank has a good network with over 5000 distribution points and nearly 2000 branches serving 2.5 crore customers.
Talking about its stock, Indusind Bank is a Large-Cap Company, and it is also one of the best banking stocks in terms of earning per share. Hence, it tops our list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 70,801.17 Crore. The closing price of the stock is ₹ 913.20 with an all-time high of ₹ 2,038.00 and an all-time low of ₹ 8.50.
- Kotak Mahindra Bank Ltd
Kotak Mahindra Bank is yet another big private bank in India that the masses trust. Established in 1985, it ranks 245 in the world’s top 500 banks. It is valued at Rs.37,19,95,91,000. This Large-Cap bank stock offers an excellent earning per share of Rs.51.30, and hence, it can be considered as one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 3,66,859.89 Crore. The closing price of the stock is ₹1,791.80 with an all-time high of ₹ 2,253.00 and an all-time low of ₹ 1.30.
- Indian Bank
Indian bank is a public sector bank established in 1907. It serves over 10 crores customers with 6006 branches and 5428 ATMs and has its presence in 75 countries. The bank is valued at Rs.4,30,000 crores. Indian bank is a Mid-Cap Banking stock that offers a good earning per share, making it one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 20,250.87 Crore. The closing price of the stock is ₹ 163.50 with an all-time high of ₹ 427.40 and an all-time low of ₹ 41.55.
- ICICI Bank Ltd
ICICI Bank is one of the biggest private banks in India. Its total assets were valued at Rs.14.76 trillion in 2020. Its network is so strong that it has 5288 branches with 15,158 ATMs across the country.
A Large-Cap Banking stock with a promising earning per share makes it one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 5,07,245.27 Crore. The closing price of the stock is ₹ 720 with an all-time high of ₹ 867.00 and an all-time low of ₹11.41.
- State Bank of India
I don’t think this bank needs any introduction. Every Indian Pincode has a branch of this biggest bank in the country. SBI was established in 1806 and has successfully carried its legacy and heritage for over 200 years. SBI is a multinational corporation, and its presence can be noticed in 32 countries.
I’m also proud to know that SBI is a Fortune 500 company. Being the biggest bank in the country, SBI is a Large-Cap stock, and it has managed to offer quite impressive earning per share. We undoubtedly had to consider this stock in our list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 4,20,616.94 Crore. The closing price of the stock is ₹ 461.85 with an all-time high of ₹ 549.00 and an all-time low of ₹13.21.
- Axis Bank Ltd
Axis Bank was previously UTI Bank and is also the third-largest private sector bank in India. It has an extensive network with over 4594 branches and 11333 ATMs. Axis Bank is also Multinational with its presence in 8 countries.
Axis Bank is a Large-Cap banking stock and offers a great earning per share. It was pretty evident that this stock makes to the list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 2,02,276.51 Crore. The closing price of the stock is ₹ 660.70 with an all-time high of ₹ 866.90 and an all-time low of ₹ 4.20.
- Canara Bank Ltd
Canara Bank is among the largest public sector banks in India. Established in 1906, it has shown continuous growth over 100 years. Canara Bank can be considered a game-changer of India’s banking sector on many factors, to name a few we have; first intercity ATM network, ISO certification, exclusive Mahila banking branch, credit cards for farmers’ agricultural consultancy services.
Looking into its network, Canara Bank has one of the largest networks in the country, with 10491 branches and 12973 ATMs. It also has its presence in 7 international cities. This Large-Cap Banking stock provides an appreciable earning per share to boost your ROI, and hence, it is on the list of best banking stocks to buy.
The Market Capitalization of this bank is reported at ₹ 38,260.01 Crore. The closing price of the stock is ₹ 207.95 with an all-time high of ₹ 821.12 and an all-time low of ₹ 40.71.
- Karnataka Bank Ltd
Incorporated in 1924, it is one of India’s oldest and best-trusted banks. With 97 years of experience and serving its one crore customers, they have 858 branches over 1000 ATMs spread across 22 states and 2 Union Territories. Karnataka Bank is the only Small-Cap banking stock to list in the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 2,069.24 Crore. The closing price of the stock is ₹ 65.05 with an all-time high of ₹ 194.95 and an all-time low of ₹ 5.43.
- Bandhan Bank Ltd
One of India’s youngest and fastest-growing banks, Bandhan Bank, was established in 2015. It started its operations from being an NGO to an NBFC and finally to a bank. Their growth throughout the years is really promising, with 2.3 crore customers and counting.
Bandhan Bank is a Large-Cap banking stock, and it offers a decent earning per share. The profitable growth has brought this into the list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 53,349.01 Crore. The closing price of the stock is ₹ 323.60 with an all-time high of ₹ 741.80 and an all-time low of ₹ 152.20.
Coming to the next section of the article, you may find one more list of banking stocks to be considered. Please keep reading to know more about it.
These were the best bank stocks based on the highest earnings per share (EPS) over the past year. You may also check out the High EPS stocks in India across all sectors by clicking here.
Coming to the next section of the article, you may find one more list of banking stocks to be considered. Please keep reading to know more about it.
Looking for the Best Stocks in different sectors? Check out the following articles:
Best Bank Stocks – Net Profit Margin
Best banking stocks in India based on the highest Net Profit Margin.
Net Profit Margin = Net Income/Revenue x 100
Note* Net Income = Revenue – Expenses – Interest – Taxes
| Sl No. | Stock Name | Close Price | Net Profit Margin (%) |
| 1 | HDFC Bank Ltd | 1,351.10 | 22.69 |
| 2 | Kotak Mahindra Bank Ltd | 1,791.80 | 20.26 |
| 3 | CSB Bank Ltd | 186.25 | 20.06 |
| 4 | Axis Bank Ltd | 660.70 | 16.35 |
| 5 | ICICI Bank Ltd | 720.00 | 15.86 |
| 6 | City Union Bank Ltd | 136.90 | 15.63 |
| 7 | Punjab & Sind Bank | 14.95 | 12.90 |
| 8 | Indusind Bank Ltd | 913.20 | 12.57 |
| 9 | Federal Bank Ltd | 91.70 | 11.75 |
| 10 | IDBI Bank Ltd | 36.70 | 10.73 |
- HDFC Bank Ltd
HDFC Bank is one of the leading and biggest private sector banks in India; it was best-trusted also the first to get RBI’s approval for a private sector bank in 1994. With over 5608 branches and 16087 ATMs in 2902 Cities, it has a pretty vast network throughout the country.
HDFC is a Large-Cap banking stock in India and one of the largest in terms of Market-Capitalization. The earning per share with HDFC bank is Rs.57.9, which is the highest in its segment. This bank has performed so well over the years that it tops our list of best bank stocks to buy.
HDFC Bank stands as the top bank in India with a Market Capitalization of ₹ 7,59,180.39 Crore. The closing price of the stock is ₹ 1,351.10 with an all-time high of ₹ 1,725.00 and an all-time low of ₹ 16.36.
- Kotak Mahindra Bank Ltd
Kotak Mahindra Bank is yet another big private bank in India that the masses trust. Established in 1985, it ranks 245 in the world’s top 500 banks. It is valued at Rs.37,19,95,91,000. This Large-Cap bank stock offers an excellent earning per share of Rs.51.30, and hence, it can be considered as one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 3,66,859.89 Crore. The closing price of the stock is ₹1,791.80 with an all-time high of ₹ 2,253.00 and an all-time low of ₹ 1.30.
- CSB Bank
Formerly known as the Catholic Syrian Bank Limited, the CSB Bank Limited is a private sector bank in India that has its headquarters in Thrissur, which is located in the state of Kerala. The bank operates over 560 branches and more than 390 automated teller machines (ATMs) across the country of India.
The Market Capitalization of this bank is reported at ₹ 3,075.71 Crore. The closing price of the stock is ₹ 186.25 with an all-time high of ₹ 374 and an all-time low of ₹ 95.60.
- Axis Bank Ltd
Axis Bank was previously UTI Bank and is also the third-largest private sector bank in India. It has an extensive network with over 4594 branches and 11333 ATMs. Axis Bank is also Multinational with its presence in 8 countries.
Axis Bank is a Large-Cap banking stock and offers a great earning per share. It was pretty evident that this stock makes to the list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 2,02,276.51 Crore. The closing price of the stock is ₹ 660.70 with an all-time high of ₹ 866.90 and an all-time low of ₹ 4.20.
- ICICI Bank Ltd
ICICI Bank is one of the biggest private banks in India. Its total assets were valued at Rs.14.76 trillion in 2020. Its network is so strong that it has 5288 branches with 15,158 ATMs across the country.
A Large-Cap Banking stock with a promising earning per share makes it one of the best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 5,07,245.27 Crore. The closing price of the stock is ₹ 720 with an all-time high of ₹ 867.00 and an all-time low of ₹11.41.
- City Union Bank Ltd
Previously known as Kumbakonam Bank Limited was incorporated in 1904, it has successfully carried itself for more than 100 years now. Although a small bank, it has over 700 branches throughout the country.
The Market Cap of this banking stock is considered to be a Mid-Cap stock. The good thing about this stock is that you receive dividends, and this has pushed City Union Bank a lot ahead in the list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 10,258.04 Crore. The closing price of the stock is ₹ 136.90 with an all-time high of ₹ 249.35 and an all-time low of ₹ 0.86.
- Punjab & Sind Bank
Punjab & Sind Bank is an Indian nationalized bank. It is owned by the Ministry of Finance, which is a department of the Indian government, and its headquarters can be found in New Delhi.
As of the 31st of March in the year 2020, the bank possessed 1526 branches that are dispersed across India, out of which 635 branches are located in the state of Punjab. Additionally, the bank possesses 25 zonal offices that are dispersed across India.
The Market Capitalization of this bank is reported at ₹ 10,302.24 Crore. The closing price of the stock is ₹ 14.95 with an all-time high of ₹ 146.70 and an all-time low of ₹ 9.30.
- Indusind Bank Ltd
Indusind Bank Ltd was established in 1994, and this award-winning bank has a good network with over 5000 distribution points and nearly 2000 branches serving 2.5 crore customers.
Talking about its stock, Indusind Bank is a Large-Cap Company, and it is also one of the best banking stocks in terms of earning per share. Hence, it tops our list of best bank stocks to buy.
The Market Capitalization of this bank is reported at ₹ 70,801.17 Crore. The closing price of the stock is ₹ 913.20 with an all-time high of ₹ 2,038.00 and an all-time low of ₹ 8.50.
- Federal Bank Ltd
Federal Bank Limited is a private sector bank in India with its headquarters in Aluva, Kochi. The bank has 1,272 branches in India, spread across various states. It also has offices in Abu Dhabi, Qatar, Kuwait, Oman, and Dubai, among others.
Federal Bank handled more than 15% of India’s total inward remittances of $79 billion in 2018, with a customer base of over 10 million, including 1.5 million NRI customers and a large network of remittance partners around the world. More than 110 banks and exchange companies around the world have remittance agreements with the bank. The bank is also listed on the BSE, NSE, and LSE, and has a branch in GIFT City, India’s first International Financial Services Center (IFSC).
The Market Capitalization of this bank is reported at ₹ 19,162.81 Crore. The closing price of the stock is ₹ 91.70 with an all-time high of ₹ 285.50 and an all-time low of ₹ 0.83.
- IDBI Bank Ltd
The Industrial Development Bank of India (IDBI Bank Limited or IDBI Bank) was incorporated in 1964 by an act to provide loans and other financial services to India’s budding industries. It is a development finance institution that is owned by the Life Insurance Corporation, which is in turn owned by the Government of India’s Ministry of Finance.
The Market Capitalization of this bank is reported at ₹ 40,267.75 Crore. The closing price of the stock is ₹ 36.70 with an all-time high of ₹ 202.25 and an all-time low of ₹ 13.90.
Here are some of the Best Stock Research Articles listed based on Top Sectors (Industries), Market Cap, and Fundamental Analysis Factors:
| Large Cap Stocks |
| Shares below 100 |
| Best Index Funds in India |
| Shares below 10 |
| Top 10 FMCG Companies in India |
Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.
