SBI (State Bank of India) released Q3 results and accounted net profit INR 4,709.15 crore in December whilst a loss of INR 1,886.7 crore. Post-Q3 results, the brokerages firmly hold their assertive and optimistic attitude toward SBI investments.
In the filing, the bank reported an increase in consolidated income from INR 74,190.87 crore to INR 84,350.11 crore. At present, many brokerage firms retain Buy on SBI, inclusive of Jefferies and Nomura. (Source: ET)
Another foreign investor named HSBC has held Buy on the bank, aiming at a target price of INR 370. HSBC said that valuations are looking undemanding despite high visibility of ROE. It sees encouraging momentum in loan growth and net interim margin. (source: ET news)
On the contrary, asset valuation has augmented for the lenders whilst NPA has reduced to 8.71 per cent. Thus, it has facilitated in sliding down the net NPA to 3.95 per cent. Further, the provision for bad loans has decremented to INR 14,143.74 in Q3.
Assessing the overall performance of SBI, the bank is ahead of analysts assumption and performed extraordinarily in Q3.