Tamilnad Mercantile Bank Limited

Tamilnad Mercantile Bank Limited (TMB) is a small-cap Financial Services company valued at ₹13,565 crore operating in Private Sector Bank on the NSE and BSE.

Recent price move

Tamilnad Mercantile Bank Limited last traded at ₹858.9, modestly up 0.47% on the day.

Recent developments

On 2026-06-12, the company announced a dividend of ₹12.50 per share, effective from that date. The stock closed at ₹857.30, up 0.28% on the day, with a price 10.2% below its 52-week high of ₹954.20. Foreign institutional holdings increased by 0.13 percentage points to 6.86% in the latest quarter.

Financial performance

The company's annual net profit rose 13.1% to ₹1,338 crore, while the latest quarter's net profit surged 34.9% to ₹412 crore compared to the same quarter a year earlier. Profit margins remain stable at 23.0%, but return on equity and return on capital employed are relatively low at 13.2% and 6.8%, respectively.

Valuation multiples

The stock trades at 10.2 times earnings, a discount to the Financial Services median of 19.3, 1.38 times book value. It yields 1.4%.

Things to watch

The stock is 10.2% below its 52-week high, and return on capital employed is low at 6.8%. The company's return on equity is also modest at 13.2%, suggesting limited profitability relative to its equity base.

Where it stands

The company's net profit has grown steadily, with a 34.9% rise in the latest quarter compared to the same period a year ago. However, its return on capital employed remains low, and the stock is trading below its 52-week high. The most significant figure is the latest quarter's net profit of ₹412 crore.

Summarised by DocStoX's model on 2026-10-17 from company filings, exchange data and news. This is a factual summary, not a rating or a recommendation. Informational only, not investment advice. Consult a SEBI-registered adviser before investing.