Punjab National Bank Q4 FY26 profit up 12% to ₹5,592cr

PNB’s latest profit update in context

Punjab National Bank (PNB) reported a net profit of ₹5,591.64 crore for Q4 2025-2026, a 12.07% increase over the same period last year. On a sequential basis, the bank’s net profit rose 0.64% compared with the previous quarter. The update keeps PNB in focus as investors track PSU banks for earnings momentum, valuation comfort, and balance sheet trends. In the broader market discussion around banks, PNB has also been highlighted as a low-priced stock with “strong fundamentals” in some investor screens. The bank’s valuation metrics and price points referenced across different dates show how market expectations have shifted through the cycle.

What the Q4 FY26 numbers say

The key headline from the shared data is the year-on-year rise in Q4 profit to ₹5,591.64 crore. The quarter-on-quarter profit increase of 0.64% suggests earnings were broadly stable compared with the immediately preceding quarter. While the data provided does not detail drivers like net interest income or provisions for this specific quarter, the profit trajectory is being read alongside commentary on improved asset quality. PNB is described as a public sector bank showing resilience and improvement in asset quality, which has been a key theme across PSU lenders in recent quarters. Some market coverage also notes that even when broader markets were weak, a set of PSU bank stocks including SBI and PNB touched fresh 52-week highs.

Stock price and valuation references across dates

PNB’s market price is cited at different points in time in the provided material. One reference pegs the CMP at ₹101.65 as of December 24, 2024. Alongside that price, a P/E ratio of 9.14 is mentioned, positioning the stock as a value-oriented pick for investors who screen on multiples.

A separate stock snapshot line includes PNB values of 122.00, 135.15, and 85.75, along with a P/E of 8.63 and a market cap figure of 140,213.91 (presented in the source as a single figure). The same snapshot also lists 14.14 and 11,492,943,268.00, but the labels for these fields are not specified in the provided text.

How PNB ranks in a banking stock screen

A separate table lists “best banking stocks in India” with CMP as of 4 March 2026, market cap, P/B, and ratings. In that list, Punjab National Bank is shown with a CMP of ₹121.30 and market cap of ₹139,409.40 crore, with a P/B of 0.99 and a rating of 1.00. The same content also mentions a P/B ratio of 0.90 in the context of valuation, indicating PNB is being discussed as relatively inexpensive compared with some peers.

Mixed earnings headlines across quarters

The provided text contains multiple earnings-related references across different periods, highlighting how outcomes can vary by quarter and by the specific line items driving net profit. One headline notes PNB shares gained 1.7% after a 14% year-on-year rise in profit after tax for Q2FY26, supported by improved asset quality and steady business growth. Another reference flags that PNB shares fell 4% after Q1 profit dropped 48% year-on-year to ₹1,675 crore for Q1 2025, compared with ₹3,251.5 crore a year earlier, with the decline linked to a significant tax expense.

This cluster of updates underscores the need to separate operating performance from one-offs such as tax expenses when tracking quarterly results. It also explains why the market reaction can differ sharply between quarters even if business indicators like asset quality are moving in a favourable direction.

Broker views and targets cited in the coverage

Two brokerage recommendations are explicitly mentioned. Motilal Oswal is described as bullish on Punjab National Bank, assigning a buy rating with a target price of ₹130 in a report dated July 30, 2025. Emkay Global Financial also recommended a buy rating with a target price of ₹125 in a report dated May 08, 2025.

Separately, another earnings note states that during the quarter, PNB’s total income increased to ₹36,705 crore from ₹32,361 crore a year ago. While the quarter is not named in that line, the income growth figure is part of the broader narrative around earnings improvement and the market’s focus on the quality and sustainability of profit drivers.

Business update signals: loans, deposits, and CD ratio

A market segment in the shared text discusses PNB’s quarterly updates and how analysts interpreted them. It cites loan book growth of around 9.7% and deposit growth of around 12% for PNB, alongside a CD ratio of 71%. Brokerages including Citi and Morgan Stanley are mentioned as flagging muted loan growth and soft deposit momentum in the April to June quarter, after a Q1FY26 business update did not meet expectations.

These figures matter because loan growth supports interest income, while deposit momentum and the CD ratio can influence funding costs and margins. The mention of slower industry loan growth during the quarter adds context on why bank updates were being compared not just against historical performance but also against sector-wide trends.

Regulatory provisioning horizon: RBI ECL framework

Another data point referenced is PNB’s expectation of a ₹9,000 crore impact from the RBI’s new expected credit loss (ECL) framework by 2031. The mention of a quantified impact over a multi-year timeframe is relevant for long-term earnings and capital planning discussions. While the text does not break down phasing or accounting details, the size of the stated impact indicates why investors may keep ECL implementation on their radar alongside near-term quarterly results.

Related group stock in headlines: PNB Housing Finance

The shared material also includes an update on PNB Housing Finance, which is distinct from Punjab National Bank. It reports a 24% year-on-year rise in net profit to ₹582 crore for the second quarter ended September 2025, with total income up 13%. The note adds that brokerages such as Bernstein and Motilal Oswal set target prices, reflecting confidence in performance.

Investors typically treat such updates separately, but the headlines can increase attention on the broader PNB-branded financial ecosystem, particularly around housing credit trends and reported profitability.

Key figures mentioned in the provided data

Why the PNB story matters for PSU bank investors

The combination of a higher Q4 profit and continued discussion around asset quality keeps PNB in the active watchlist for PSU bank investors. At the same time, the mixed set of quarterly headlines and business update commentary show that stock moves can hinge on growth rates, deposit trends, and below-the-line items like tax expenses. Valuation references such as P/E around 9.14 (at a CMP of ₹101.65) and P/B values around 0.99 and 0.90 are central to the “value” framing used in the text.

The next set of market attention points, based on what is explicitly cited, include tracking subsequent quarterly profit trends, monitoring loan and deposit growth prints, and watching how the ECL framework impact evolves on the path to 2031.