SBI share price: Expert says buy, pegs target price at Rs 362
SBI share price today is Rs 354, down Rs 1.7 or 0.5%. Shares of public sector banks were on a roll in Friday's session after a report said senior officials of the Niti Aayog, the Reserve Bank of India (RBI), and the finance ministry’s financial services and economic affairs departments are set to meet on April 14, 2021 to discuss the potential candidates for privatization
SBI share price today is Rs 354, down Rs 1.7 or 0.5%. Shares of public sector banks were on a roll in Friday's session after a report said senior officials of the Niti Aayog, the Reserve Bank of India (RBI), and the finance ministry’s financial services and economic affairs departments are set to meet on April 14, 2021 to discuss the potential candidates for privatization.
Avinash Gorakshkar, Director Research at ProfitMart Securities said that SBI has filled the gap around Rs 350 and is now trading near the support. Traders should add some quantity at Rs 350 as having multi-month trend line support at Rs 340. The stop-loss on the trade is Rs 340. SBI can see more strength above Rs 362.
See Zee Business Live TV Streaming Below:
In its report today, Sharekhan says State Bank of India (SBI) is attractive (with respect to asset quality, capitalisation, underwriting strength) and going forward, it expects NII and profitability to reflect in the next 2-3 years.
Sharekhan said that SBI has demonstrated solid performance under a difficult credit environment. Capital adequacy is well in-line with the risk of the loan portfolio. SBI is well positioned to deploy its excess liquidity into credit growth as the market scenario improves. It remains comfortable about the bank’s incremental asset quality trends and does not expect any significantly negative surprises in the near-to-medium term.
Sharekhan says that SBI management has reiterated that it had taken most of the provisions for the legacy book of large stressed exposures into account and going forward, the impact of residual provisions is likely to be manageable. SBI’s status as the market maker in terms of domestic interest rates places it at an advantage to other PSU bank peers, providing a cushion to margins and its strong growth in mortgages and deposits book is proof to its market strength.
Sharekhan says that as the economy is expected to revert to strong growth in FY2022E and beyond, banks and industry leaders such as SBI are well placed to capitalise on the opportunity.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.