One of the most well-known sectoral indexes, the Nifty Bank index, follows the performance of some of the most liquid banks in India that are listed on the National Stock Exchange (NSE). This index is an important gauge of the health of the Indian banking sector. Analysts, investors, and all the market-related people monitor it closely.
The Bank Nifty share list is the subsidiary of those twelve premier financial stocks in India, each with its strengths, challenges, and growth prospects.
List of Nifty Bank Stocks with Weightage
| Bank Nifty companies list | Weight (%) |
| HDFC Bank Ltd. | 25.27 |
| ICICI Bank Ltd. | 24.95 |
| State Bank of India | 12.04 |
| Axis Bank Ltd. | 10.09 |
| Kotak Mahindra Bank Ltd. | 9.19 |
| IndusInd Bank Ltd. | 6.21 |
| Bank of Baroda | 3.15 |
| Punjab National Bank | 2.31 |
| Federal Bank Ltd. | 2.14 |
| IDFC First Bank Ltd. | 1.97 |
Overview of Bank Nifty Bank Stocks
1. HDFC Bank Limited
HDFC Bank Ltd is a financial conglomerate that offers many services like banking, insurance, and mutual funds through different companies' subsidiaries. Its market capitalisation is ₹10,82,863.65 crore. Its one-year return is -9.06 %. It serves small and medium businesses, international investors, retail clients, and institutions. In the Treasury, other processes, like investment operations and the trading of foreign currencies, are handled. HDFC Ltd.'s subsidiaries include HDFC Securities Ltd, HDFC Life Insurance Company Ltd, HDB Financial Services Ltd, and HDFC ERGO General Insurance Company Ltd.
2. ICICI Bank Limited
The market capitalisation of ICICI Bank Ltd is ₹7,60,916.24 crore. It results in a one-year return of 27.69 %, and when reinvested, it ends up with a total of 19.49. Based in India, the bank already offers a wide range of cash and financial provisions covering six distinct areas. Its companies are divided into retail banking, wholesale banking, treasury management, and others, covering its foreign entities.
3. State Bank of India
The State Bank of India's market capitalisation is ₹6,60,465.91 crore. It had a one-year return of 45.07 %. Based in India, the bank provides various banking and financial services to people, corporations, and organisations. It operates in many divisions, including Treasury, Corporate/Wholesale Banking, Retail Banking, Insurance Business, and other Banking Business, providing loan, investing, trading, and transaction services to various clients.
4. Kotak Mahindra Bank Limited
The market capitalisation of Kotak Mahindra Bank Ltd is`₹3,48,617.14 crore. The negative response for one year is 2.84 %. It is a non-banking financial corporation (NBFC) that mainly helps finance passenger and multi-utility vehicles for retail clients. It offers term and inventory funding services for dealers’ physical stock and loans. It operates in three segments: refinancing automobiles, business loans, and treasury and other investing activities. It offers many financial products in a wide range, from mortgage-type loans to Small and Micro Enterprises or SME finance, personal loans, savings accounts, NPS schemes, fixed deposits, recurring deposits, and loans against property. It provides insurance in all its aspects.
5. Axis Bank Limited
AxisBank Ltd.'s market capitalisation constitutes approximately ₹ 3,21,113.03 crore. A hedge fund's outcome is decided by the duration of its holding and the level of its returns. In the case of one-year holding, it is 24.86 %. The company is into banking and financial services. Its main sectors are Treasury, Retail Banking, Corporate/Wholesale Banking, and Other Banking sectors. The Treasury Division has the authority over several investment and trading operations, while a Retail Banking division provides customers with card, internet, and mobile banking services. While the Corporate/Wholesale Services Branch involves customer relationship management, consultancy services, and capital market activities, the Other Banking Business offers non-banking services.
6. Punjab National Bank
The market cap for Punjab National Bank is presumed to be ₹1,36,481.54 crore. Its return of 172.12 % during this period underscores how well this stock has performed. It is an Indian-based institution operating in four divisions: Treasury Operations, Wholesale/Corporate Banking, Retail Banking & All Other Banking Operations. It is a self-sufficient bank that deals with personal, corporate, international, and capital services, i.e. deposits, loans, housing projects, NPA settlements, accounts, insurance, requirements of government transactions, and unique portfolios for diverse commodities and necessities.
7. Bank of Baroda Limited
The market capitalisation valuation for Bank of Baroda Ltd is ₹1,35,256.98 crores. It has delivered a one-year outstanding return of 62.2 %. It deals with websites in India and furnishes banking and finance services such as treasury, corporate/wholesale, and retail banking. It offers the following: Personal banking services, electronic products, loans, and e-payment solutions to merchants. It has as many as 8.240 branches and 9.764 ATMs.
8. IDFC First Bank Limited
IDFC First Bank's market capitalisation in rupees is ₹54,933.31 crore. It reported 46.47 % for a one-year return. The company is headquartered in India and has four primary segments: Treasury, Wholesale Banking/Corporate, Retail Banking, and Other Banking Business. The functions of the Treasury Division include loan grants, money markets, exchange rates, and other derivatives. Corporate/Wholesale Banking is oriented to non-retail corporate clients addressed by the loan and service provision. Retail Banking is individual, and business banking relates to citizens and businesses. Moreover, the bank gains money by releasing other party devices to the market. It is known to serve a large client base through its robust network of more than 809 places and 925 ATMs.
9. AU Small Finance Bank Limited
The market capitalisation value of AU Small Finance Bank Limited is ₹37,672.69cr. It had a negative one-year of -0.69 %. It has the following specific areas: treasury, retail banking, wholesale banking, and assorted services. Retail banking and services are digitally supplied through networks of branches. At the same time, wholesale banks partner with companies, providing business entities with financial assistance and transactional facilities. The bank offers some of the banking services individuals require, such as savings and current accounts, loans to cars and houses, and many other personal requirements.
10. Indusind Bank Limited
IndusInd Bank Ltd’s market capitalisation would be about ₹1,18,201.31 crore. Worth 49.94 % at the end of the year, this fund affords an annual return of 1.73%. It offers microfinance, consumer credit, business loans, and money-circulating technologies (debit cards). The bank has set its activities in three major categories: Treasury, Corporate/Wholesale Banking, and Retail Banking, with Technology and Other Retail Banking divisions to meet all client requests in all segments of the target community.
11. Bandhan Bank Ltd
As per the market capitalisation of Bandhan Bank Ltd, the figure is ₹ 29321 Cr. The one-year return is -8.11 %. Bandhan Bank Limited was set up in 2014 as a commercial bank focusing on foreign direct investment, democratising healthcare, and science and energy, which will be future areas of concern. The group operates under the same name at every location and provides microfinance, banking, and other services alongside mainstream banking.
12. Federal Bank Ltd
Federal Bank Limited is a Mumbai-based bank. Its market capitalisation is ₹ 36,770 Cr. Its 1-year return concerning is 19.41 %. The Federal Bank was a Travancore-based bank formed in 1931 named Travancore Federal Bank Limited. They provide retail and corporate banking and para-banking services through debit cards, distribution of third-party products, and deposits.
Conclusion
The Nifty Bank Index not only indicates the performance of individual banks' stocks but is also a broader indicator of general health and sentiment around the banking sector in India. Investors are focused on watching this index to access the sector's overall performance, identify emerging opportunities for investment, and make knowledgeable financial decisions. At the same time, the Nifty Bank index composition is subject to frequent review and alteration, characteristic of the banking industry, which is constantly expanding and competitive.
What is the Nifty Bank index?
The Nifty Bank index is a sectorial index that tracks the performance of the most liquid bank stocks listed on India's National Stock Exchange (NSE). It serves as an important gauge of the health of the Indian banking sector and is closely monitored by analysts, investors, and market participants.
Which bank has the highest weightage in the Nifty Bank index?
HDFC Bank Ltd. has the highest weightage of 25.27% in the Nifty Bank index, followed by ICICI Bank Ltd. with a weightage of 24.95%.
How many stocks are included in the Nifty Bank index?
The Nifty Bank index comprises 12 premier bank stocks in India, including HDFC Bank, ICICI Bank, State Bank of India, Axis Bank, Kotak Mahindra Bank, and others.
What are the main segments of operations for banks in the Nifty Bank index?
Most banks in the Nifty Bank index operate across various segments, including Treasury, Retail Banking, Corporate/Wholesale Banking, and Other Banking Business, offering a wide range of financial services and products.
How often is the Nifty Bank index composition reviewed and altered?
The composition of the Nifty Bank index is subject to frequent review and alteration, reflecting the dynamic and competitive nature of the banking industry in India, which is constantly evolving and expanding.