Investec has maintained a ‘Buy’ rating on State Bank of India (SBI) and raised its target price to ₹920, up from ₹870 earlier, reflecting a potential upside of around 15% from the current market price of ₹799.80.
The brokerage observed that SBI delivered an inline net interest income (NII) performance, while high treasury gains supported the bank in achieving a return on assets (RoA) of 1.1%.
However, Investec flagged a softer loan growth trajectory, which it attributed to chunky prepayments. Despite this, the firm noted that asset quality remains rock solid, reinforcing confidence in SBI’s overall financial strength and risk management.
The upward revision in the target price reflects the brokerage’s comfort with SBI’s return metrics and stable credit environment, even as growth moderates slightly.
Disclaimer: This report is for informational purposes only and does not constitute investment advice. Stock market investments are subject to market risks. Please consult a certified financial advisor before making any investment decisions.
