JPMorgan has reiterated its ‘Overweight’ rating on SBI with a target price of ₹915, viewing the Q4 performance as broadly stable but lacking near-term excitement. The brokerage believes the stock offers an accumulation opportunity if it corrects on concerns over NIM pressures.
SBI’s Q4 net profit was ₹18,643 crore, down from ₹20,698 crore YoY, while NII rose modestly to ₹42,774 crore. Loan growth stood at 12% YoY, which JPMorgan attributes partly to repayments in the corporate loan book. The brokerage expects FY26 NIM to compress by 12–15 bps as the rate cycle eases.
Despite short-term risks, JPMorgan sees underlying trends as not weak and maintains that SBI remains structurally well-placed, supported by its improving asset quality — gross NPAs fell to 1.82%, and net NPAs to 0.47%.
Disclaimer: The above views are those of the brokerage and not the publication. Investors are advised to consult a certified financial advisor before making investment decisions.
