Buy State Bank of India, says Dilip Bhat

Bhat told CNBC-TV18, “SBI, certainly our opinion is that the asset quality deterioration the worst is behind us. maybe in the last three quarters we have seen probably we will see some kind of moderation over here in this particular quarter which is about to be reported.”

He further added, “More important I think that even in the first quarter of 12-13 there would be some amount NPAs still throwing up. But by and large the worst is certainly behind and I would think that the fourth quarter numbers would be a good surprise on the positive side. I would really positionally try to see how when to enter SBI from the current levels whether it is just 5% lower or maybe even at the current levels. I would be looking out to buy SBI at reasonable levels.”