Nomura has reiterated its ‘Buy’ rating on State Bank of India (SBI) with a target price of ₹980, indicating a 25% upside from the current market price of ₹781.00. The brokerage believes it is time for investors to get back onboard, given SBI’s solid fundamentals and favorable positioning.
Nomura highlights that SBI is well-positioned to deliver on asset quality, even amid tougher deposit conditions and potential rate cuts. Additionally, SBI is seen as being well-placed in light of potential tighter draft regulations, which could impact the banking sector.
With attractive valuations at 1x FY26F price-to-book value (P/BV), SBI remains Nomura’s top pick in the banking sector. The brokerage notes that SBI’s resilient asset quality and ability to navigate evolving regulations make it a compelling investment opportunity.
Disclaimer: This information is for informational purposes only and should not be considered as investment advice.
