An efficient banking system capable of mobilizing the savings and channeling them to productive purposes are essential for the development of any economy. The objective of the study is to analyze and compare the overall financial performance of selected public and private sector banks in India. The study is based on secondary data that has been collected from journals and magazines. This research study covers a period of five years i.e. from financial year 2013-14 to 2017-18. A quota sample method is used for to select ten banks i.e. five from public sector and five from private sector has been selected and the criteria is based on highest market capitalization generated by banks during financial year 2018. T Test, mean and graphs are used to analyze the data. Although there was increase in profitability for both sector banks the rate of growth is higher for private sector banks. Public sector banks are lagging in many financial parameters and they are facing many challenges also. It is concluded that Public sector banks must redefine their strategies by considering their strengths and weakness and the type of market they are operating.