{"id":"f-e550251d2f-454a8ac2-3af4-503e-89ab-6095d8e9678b","title":"SBI posts biggest single-day jump since June 2024 after Q3 beat; shares up 6%","description":"Broad-based loan growth, steady margins, and benign asset quality, has prompted many analysts to increase the target price for India's biggest bank.","timestamp":1770616154,"category":"business","headline":"SBI posts biggest single-day jump since June 2024 after Q3 beat; shares up 6%","modifiedHeadline":"SBI shares surge 6% on strong Q3 results","subCategories":["scid_0f705da1"],"region":"IN","bundleMetaData":{"bundleId":"ece1ae3d-908e-48c7-9e53-a4aa910ee4db","bundleTitle":"Grow Your Money","cardData":null},"iabCategoryId":"53","fcSummary":"state bank of india's shares surged 6% after reporting a 24% net profit growth, beating market estimates and outperforming private peers in loan growth. analysts are largely bullish, citing strong sequential loan growth, sustained margins, robust asset quality, and improved returns, with many raising target prices.","summary":"SBI shares surge 6% after Q3 results beat expectations, driven by broad loan growth and strong margins.","ctaUrl":"https://trends.glance.com/newz/Economy/IN/en/cnbc-tv18/f-e550251d2f-454a8ac2-3af4-503e-89ab-6095d8e9678b","sourceUrl":"https://www.cnbctv18.com/market/sbi-share-price-target-raised-by-multiple-analysts-after-q3-results-valuation-ws-l-19845096.htm","bannerImage":"https://g-mob.glance-cdn.com/public/fc/image/K7l1K09-C990.webp","content":"Shares of State Bank of India (SBI) emerged as the top gainer on the Nifty 50 index, rising 6% and posting its biggest single-day gain since June 2024 after its third quarter results.\n
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\n SBI beat market estimates with a 24% growth in net profit at the end of the December quarter. The bank beat private peers like ICICI Bank and HDFC Bank in loan growth, and raised the guidance for the next financial year. Not surprisingly, a slew of increases in target prices have followed.\n
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\n 42 of the 49 analysts tracking the stock have a 'buy' rating, according to the latest Bloomberg data. At least five of them have raised their target prices.\n
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Brokerage	Rating	Target Price
Nomura	Buy	₹1,235
CLSA	Outperform	₹1,275
CITI	Buy	₹1,265
Bernstein	Market Perform	₹1,100
Jefferies	Buy	₹1,300
Nuvama	Buy	₹1,250
UBS	Neutral	₹1,120

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The following are some of the reasons cited by the analysts bullish on SBI's prospects going forward: \n

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\n Sequential loan growth was much better than peer PSU banks as well as large private sector banks, according to CLSA.\n
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Margins are expected to sustain at or above 3% and disciplined underwriting/credit protocols, alongside recoveries should support robust asset quality,

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said CITI.

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\n SBI’s core earnings are stronger than private banks for third consecutive quarter with stable net interest margin, higher than sector loan growth and strong fees, Nuvama highlighted.\n
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\n Overall, a combination of strong growth, improved margins, and better asset quality kept return on assets (RoA) comfortably above 1% mark and return on equity (RoE) above 20%: Bernstein.\n
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\n A substantial portion of re-rating has already played out, and the subsequent increase in SBI stock would be largely driven by earnings, and not bigger multiples, analysts at Nomura said.\n
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\n The consensus on the street is that SBI shares may rise to ₹1189.38, more than 11% higher from Friday's closing price. The stock has gained over 44% in the last year.\n
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\n Speaking to CNBC-TV18, Nitin Aggarwal of Motilal Oswal said that SBI may overshadow the growth of all three top private-sector banks.\n
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\n The outlook for SBI in terms of growth, profits, and asset quality deserves further rerating, he added.\n
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Track the latest market updates on the CNBC-TV18 daily live-blog. ","readDurationInMinutes":"5","author":{"name":"CNBC TV18","logo":"https://glance-mob.glance-cdn.com/public/bubble/jpeg/ecc3d19b-fc52-4a39-881c-5b0936ae723b.jpeg"},"ism":false,"analyticsResponses":[{"measurementId":"383191425","type":"COMSCORE"}],"pointerSummary":["SBI shares gain 6% on strong Q3 results. Loan growth beats private peers. Analysts raise price targets."],"tags":["SBI","StateBankOfIndia","Q3Results","IndianBanking","StockMarket","Nifty50","FinancialPerformance","LoanGrowth","NetProfit","AssetQuality","TargetPrice","AnalystRatings","Nomura","CLSA","CITI","Bernstein","Jefferies","Nuvama","UBS","MotilalOswal","CNBCTV18"],"redirectionEnabled":false,"consent":true}

SBI posts biggest single-day jump since June 2024 after Q3 beat; shares up 6%

SUMMARY