Objective: The study aimed to assess the prevalence of depression and its associated factors among university students in Bangladesh. Participants: A total of 403 undergraduate students from Patuakhali Science and Technology University, and Barisal University participated in the study. Method: A cross-sectional study was conducted using Beck’s Depression Inventory (BDI). Result: The prevalence of depression (BDI ≥ 14) was 47.14%. Depression was 3.4 times (95% CI: 1.6–7.1), 3.8 times (95% CI: 1.7–8.6), and 3.9 times (95% CI: 1.5–8.9) higher among 2nd, 3rd, and 4th-year students, respectively than 1st-year students. Students with a history of stressful life events (aOR = 2.7, 95% CI: 1.7–4.4), suicidal attempts (aOR = 3.0, 95% CI: 1.2–7.9), and who received inadequate monthly allowance from their family (aOR = 0.53 95% CI: 0.3–0.9) were more likely to develop depressive symptoms. Conclusion: This study reports a high level of depression among university students which needs further discussion, exploration, and calls for designing appropriate interventions.