() shares have fallen more than 20 percent since as recently as February 2022, holding the stock firmly in place. However, the brokerage has maintained its bullish stance and has price targets that indicate a rise of up to 50 per cent for the counter. SBI exited FY22 with 13.9 per cent return on equity (ROE) and 0.67 per cent return on assets, said its latest report.ROA) Growth build-up, GNPA at a decade low, down less than 1 per cent, aided by credit cost and stable margin profile at 55 bps. The brokerage firm has set a target of Rs 673 on the stock.

On Tuesday, the stock closed at Rs 447.80, up 0.43 per cent. With a market capitalization of Rs 3,99,644 crore, the shares are trading below the 5, 10, 20, 50, 100 and 200-DMAs.

said SBI has shown a strong overall financial performance with revival in retail loan book. The asset quality also improved during the quarter. “Despite rising inflation and input costs, the management expects strong growth in the coming quarters. SBI continues to grow with healthy PCR and capitalization and a positive outlook in the Indian economy. Hence, we reiterate our ‘buy’ rating on the stock. , with a revised target price of Rs 606 using SOTP method,” it added.

Emkay Global has placed a ‘Buy’ call on State Bank of India with a target price of Rs.640. “SBI is one of the preferred picks, given its healthy growth trajectory and improving ROA/ROE profile. SBI has come a long way and is now better positioned to deliver sustained profitable growth, but it is still in a better position. also trades at cheap valuation. The PSU bank is suitably capitalized and can enhance the capital buffer by tapping the capital market/unwinding value in the subsidiaries,” it said.

For Sharekhan, SBI 600 is eligible. In FY23E, the brokerage house noted that Earnings from Available for Sale (AFS) book could fluctuate in the near term on account of Mark to Margin (MTM) loss, however, with improved asset quality, higher PCR, Higher capital levels and higher rated loans in the corporate segment augurs well for the bank in future and the bank is well positioned to gain market share on the business front. Its deposits outperform its franchisees, subsidiaries, and lower risk of dilution (compared to PSU bank peers) are likely to favor the business, it said.

The PSU bank reported a 41.27 per cent rise in standalone net profit at Rs 9,113.53 crore for the March quarter as against Rs 6,450.75 crore in the year-ago quarter.

NIM was steady at 3.12 per cent sequentially. Gross non-performing assets (NPAs) accounted for 3.97 per cent of total assets, down from 4.50 per cent sequentially and 4.98 per cent year-on-year.

As on March 31, 2022, promoters held 57.59 per cent stake in the bank, while FIIs held 9.97 per cent, DII held 24.65 per cent.

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