Fino Payments Bank Ltd. IPO

Fino Payments Bank Ltd. IPO - SWOT Analysis

Strengths:

Since the fourth quarter of FY20, the company has been returning profits consistently. The digital payments sector has been a booming space over the past few years and is expected to grow strongly. Fino’s aims and plans for deeper penetration, and growing its customer base might make it an important player in the coming years

Weaknesses:

Fino Payments Bank undertakes fees and commissions-based activities. Since this is one of their main source of income, any major shifts in this process might make it difficult to grow.

Opportunities:

Owing to the rise in mobile internet penetration and the reach of smartphones, the need for better digital payment activities is always growing. Innovation in this regard can be game-changing. CRISIL forecasts the digital payments value in India to reach Rs 3,500 lakh crore in FY25 which is more than double the numbers from FY 20.

Threats:

Some analysts feel the Fino Payment Bank share price valuation is higher compared to growth. This is seen as a big risk. Regulations from government authorities can also be detrimental to the growth prospects in the coming years. Analysts feel because of Fino Bank share price, it is mainly suitable for long-term growth