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Boost Your Portfolio: Which PSU Bank Pays Most?

Published On: July 12, 2025
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Looking to invest in public sector banks? Here’s a comparative analysis of four major players — SBI, PNB, Bank of Baroda, and Canara Bank — across vital parameters like market capitalization, dividend payouts, and stock returns.

Understanding Market Capitalization

Market capitalization gives us a snapshot of a company’s total value in the stock market. Among these four, State Bank of India (SBI) stands out as the largest public sector bank by a significant margin.

As of July 12, SBI boasted a market cap of Rs 7,21,644.78 crore. Following far behind were PNB at Rs 1,26,364.91 crore, Bank of Baroda with Rs 1,22,535.43 crore, and Canara Bank rounding out the list at Rs 1,01,291.96 crore.

Dividend Payouts for 2025

For investors seeking income, dividends are a key consideration. The 2025 dividend declarations show varying generosity among these banks.

SBI led the pack with a dividend of Rs 15.90 per share. Bank of Baroda announced Rs 8.35 per share, while Canara Bank offered Rs 4 per share. PNB declared the lowest dividend among the four at Rs 2.90 per share.

Current Share Prices (as of July 12)

The current share prices reflect the market’s immediate valuation of these banking stocks. On July 12, SBI’s shares were trading at Rs 808.60.

PNB shares stood at Rs 109.95, Bank of Baroda at Rs 236.95, and Canara Bank at Rs 111.67 per share. These figures provide a snapshot for potential buyers or sellers.

Analyzing Stock Returns

Examining stock returns over different periods helps gauge performance and potential for growth. Recent market movements have shown mixed results for these PSBs.

State Bank of India (SBI)

SBI experienced slight negative returns in the short term, with declines of 0.41% over one week, 0.79% over one month, and 5.61% over one year. However, its long-term performance has been significantly stronger.

Over two years, SBI shares rose by 37.39%, and over three years by 65.61%. Looking further back, the bank delivered impressive returns of 313.24% over five years and 198.89% over a decade.

Punjab National Bank (PNB)

PNB also saw negative returns in the short term, including a 0.72% drop in one week, 0.23% in one month, and 7.79% over one year. Its 10-year return was also negative, at -24.10%.

However, PNB showed strong recovery in the medium term, with gains of 82.08% over two years, 255% over three years, and 213.98% over five years.

Bank of Baroda

Bank of Baroda bucked the short-term trend slightly, gaining 2.09% in the last week. Yet, it saw declines of 5.11% over one month and 9.13% over one year.

The bank’s long-term performance is notable, with returns of 32.24% over two years, 140.67% over three years, and a massive 539.12% over five years. Its 10-year return was 53.87%.

Canara Bank

Canara Bank faced negative returns in the short term, falling 2.14% in one week, 4.48% in one month, and 1.97% over one year.

Similar to its peers, Canara Bank demonstrated robust long-term growth. Its shares climbed 68.35% over two years, 157.78% over three years, and 434.91% over five years. The 10-year return stood at 96.54%.

  • SBI is by far the largest public sector bank by market capitalization.
  • SBI offered the highest dividend per share in 2025 among the four.
  • Despite recent short-term negative returns for most, all four banks have shown strong long-term growth over 2, 3, and 5-year periods.
  • Bank of Baroda exhibited the highest 5-year return among the group.

This comparison offers a snapshot for investors considering public sector bank stocks, highlighting their varying strengths in market size, dividend policy, and historical returns.

Looking to invest in public sector banks? Here’s a comparative analysis of four major players — SBI, PNB, Bank of Baroda, and Canara Bank — across vital parameters like market capitalization, dividend payouts, and stock returns.

Understanding Market Capitalization

Market capitalization gives us a snapshot of a company’s total value in the stock market. Among these four, State Bank of India (SBI) stands out as the largest public sector bank by a significant margin.

As of July 12, SBI boasted a market cap of Rs 7,21,644.78 crore. Following far behind were PNB at Rs 1,26,364.91 crore, Bank of Baroda with Rs 1,22,535.43 crore, and Canara Bank rounding out the list at Rs 1,01,291.96 crore.

Dividend Payouts for 2025

For investors seeking income, dividends are a key consideration. The 2025 dividend declarations show varying generosity among these banks.

SBI led the pack with a dividend of Rs 15.90 per share. Bank of Baroda announced Rs 8.35 per share, while Canara Bank offered Rs 4 per share. PNB declared the lowest dividend among the four at Rs 2.90 per share.

Current Share Prices (as of July 12)

The current share prices reflect the market’s immediate valuation of these banking stocks. On July 12, SBI’s shares were trading at Rs 808.60.

PNB shares stood at Rs 109.95, Bank of Baroda at Rs 236.95, and Canara Bank at Rs 111.67 per share. These figures provide a snapshot for potential buyers or sellers.

Analyzing Stock Returns

Examining stock returns over different periods helps gauge performance and potential for growth. Recent market movements have shown mixed results for these PSBs.

State Bank of India (SBI)

SBI experienced slight negative returns in the short term, with declines of 0.41% over one week, 0.79% over one month, and 5.61% over one year. However, its long-term performance has been significantly stronger.

Over two years, SBI shares rose by 37.39%, and over three years by 65.61%. Looking further back, the bank delivered impressive returns of 313.24% over five years and 198.89% over a decade.

Punjab National Bank (PNB)

PNB also saw negative returns in the short term, including a 0.72% drop in one week, 0.23% in one month, and 7.79% over one year. Its 10-year return was also negative, at -24.10%.

However, PNB showed strong recovery in the medium term, with gains of 82.08% over two years, 255% over three years, and 213.98% over five years.

Bank of Baroda

Bank of Baroda bucked the short-term trend slightly, gaining 2.09% in the last week. Yet, it saw declines of 5.11% over one month and 9.13% over one year.

The bank’s long-term performance is notable, with returns of 32.24% over two years, 140.67% over three years, and a massive 539.12% over five years. Its 10-year return was 53.87%.

Canara Bank

Canara Bank faced negative returns in the short term, falling 2.14% in one week, 4.48% in one month, and 1.97% over one year.

Similar to its peers, Canara Bank demonstrated robust long-term growth. Its shares climbed 68.35% over two years, 157.78% over three years, and 434.91% over five years. The 10-year return stood at 96.54%.

  • SBI is by far the largest public sector bank by market capitalization.
  • SBI offered the highest dividend per share in 2025 among the four.
  • Despite recent short-term negative returns for most, all four banks have shown strong long-term growth over 2, 3, and 5-year periods.
  • Bank of Baroda exhibited the highest 5-year return among the group.

This comparison offers a snapshot for investors considering public sector bank stocks, highlighting their varying strengths in market size, dividend policy, and historical returns.

Anshu Kaushik

Anshu Kaushik is an automotive analyst and business writer with over 8 years of experience covering market trends, consumer insights, and product innovations. With a background in finance and a lifelong passion for engineering, he bridges technical depth and economic perspective in his coverage. His work has been cited in business journals and product strategy briefs. Anshu’s insights help readers make confident, informed decisions in fast-moving sectors like cars and commerce. Find him on LinkedIn.

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