PSU banks’ m-cap jumps 5X since FY20: 5 triggers that could drive re-rating & more upside

Indian public sector banks have transformed into powerful wealth creators, multiplying investor wealth over five times since FY20, with their combined market cap surging to Rs 16.40 lakh crore. This re-rating is fueled by fundamental improvements like drastically reduced NPAs, strong RoA, and outperforming private banks in loan growth.