Jefferies has reiterated its “Buy” call on State Bank of India (SBI), with a target price of ₹1,030, reflecting a 31.9% upside from the current market price of ₹780.90.
The brokerage highlighted SBI’s focus on improving deposit growth, noting that its loan-to-deposit ratio (LDR) still has room to rise. It also emphasized that asset quality remains strong, even in unsecured loans.
Jefferies expects gradual rate cuts, with a higher share of MCLR loans likely aiding margins. SBI remains among the brokerage’s top picks in the banking sector, with no plans to raise capital or monetize/list stakes in its subsidiaries.
Disclaimer: This report is for informational purposes only and should not be considered investment advice. Please consult a financial advisor before making investment decisions.
