PSU banking stocks have shown strong performance in 2026, bolstered by positive earnings and credit growth. The Nifty PSU Bank index achieved 9,294, with SBI shares reaching new highs. Analysts expect core growth to balance treasury volatility amid elevated bond yields.
2 min read12 Feb 2026Higher-than-expected government borrowing may keep bond yields firm, impacting banks' treasury portfolios. However, PSU banks are better positioned to handle volatility due to stronger balance sheets and credit growth, cushioning earnings against treasury swings through FY27.
6 min read11 Feb 2026In the right market environment, a well-timed sectoral allocation can enhance portfolio returns, but such gains come with elevated risks.
2 min read2 Jan 2026The Indian stock market faced challenges in 2025, underperforming Asian peers. Despite this, sectors like PSU banks and metals flourished, achieving strong rallies, while auto stocks rebounded from government policy changes.
3 min read1 Jan 2026PSU banks are leading the 2025 rally as NPAs fall to decade lows, RoE stays above 15% and valuations remain below 1x book. Investors can track banking ratios, peer data and screen PSU banks for free using the Finology Ticker screener.
4 min read23 Dec 2025With gains of 28% in 2025 so far, the Nifty PSU Bank index has emerged as the top-performing sectoral index, largely outperforming the benchmark Nifty 50, which has risen 10% over the same period.
2 min read20 Dec 2025State-owned banks like Indian Bank, Punjab National Bank, and Canara Bank saw modest gains on December 9 after a significant selloff. Despite this, many banks remain down from recent highs, following the government's clarification on FDI limits in public sector banks.
2 min read9 Dec 2025State-owned banks faced selling pressure as all 12 constituents declined after the government ruled out raising the foreign direct investment limit in public sector banks. The Nifty PSU Bank index dropped 3%, reflecting the broad weakness in the sector.
2 min read3 Dec 2025The PSU bank stocks have seen an up to 60% surge in a year, with Indian Bank emerging as the leader. The stock has surged 59% in a year, followed by Canara Bank, up 48% during this period.
3 min read26 Nov 2025Public sector banks saw a strong recovery on November 25, with the Nifty PSU Bank index rising 1.8%. Notable performers included Bank of Maharashtra and Indian Bank, contributing to a 30% yearly return. Optimism about credit growth and asset quality supports the sector's performance.
2 min read25 Nov 2025