Unlocking Financial Insights: A Comparative Study of SBI versus Axis Bank

Kaushik Meenakshi  Ramesh; Amita  Pathania; Nisha  Yadav

doi:10.21844/crr.v1i02.1111

Kaushik Meenakshi Ramesh Ph.D. Scholar, Department of Management Studies, Central University of Haryana, Mahendergarh, Haryana
Amita Pathania Ph.D. Scholar, Department of Management Studies, Central University of Haryana, Mahendergarh, Haryana
Nisha Yadav Ph.D. Scholar, Department of Management Studies, Central University of Haryana, Mahendergarh, Haryana

DOI: https://doi.org/10.21844/crr.v1i02.1111

Keywords: Financial Analysis, SBI, Axis Bank, Financial Ratios

Abstract

Purpose of the research: The purpose of this research is to compare the financial performance of State Bank of India (SBI) and Axis Bank, two major Indian financial organizations, over the last five years. The study focuses on key financial measures to evaluate the profitability, efficiency, and overall financial health of both institutions.
Design/Methodology/Approach: The research uses a comparative analysis approach to evaluate important financial ratios such as return on equity, earnings per share, profit earnings ratio, dividend per share, dividend payout ratio, net profit margin, operational profit margin, and return on assets. These ratios are used to compare the financial performance of SBI and Axis Bank to uncover similarities and differences between the two.
Findings: The comparison analysis highlights the financial strengths and drawbacks of SBI and Axis Bank. Profitability criteria such as earnings per share and return on equity vary, as do dividend policy and operational efficiency indicators.
Originality and Novelty: This research adds to the current literature by comparing SBI and Axis Bank's financial performance across multiple crucial ratios. The study provides insights into both banks' financial advantages and drawbacks, which may influence investment decisions and strategic planning.
Research Limitations: This study relies on publicly available financial data, which may not fully portray the complexity of the banking business. Furthermore, the analysis is confined to a given time period and may not capture long-term patterns or future performance.
Research and Practical Implications: This research has important consequences for investors, legislators, and banking professionals. Understanding SBI and Axis Bank's financial strengths and weaknesses can help guide investment decisions, regulatory actions, and strategic initiatives to improve financial performance.
Social Implications: The financial stability and performance of banks like SBI and Axis Bank have a substantial impact on the economy, including credit access, financial inclusion, and growth.