State Bank of India (SBI) share price added more than 5 percent on June 8 after the public lender posted better-than-expected numbers for the quarter ended March.
The company reported a standalone profit of Rs 3,580.81 crore against a profit of Rs 838.4 crore.
Net interest income declined 0.8 percent year-on-year to Rs 22,766 crore due to a moderate loan growth at 6.4 percent.
Asset quality improved in the quarter. Gross non-performing assets (NPAs) as a percentage of gross advances declined 42 basis points sequentially to 2.23 percent and net NPAs dropped 79 basis points QoQ to 6.15 percent during the quarter.
Broking house Sharekhan maintained buy rating on the stock with a revised price target of Rs 262.
Dolat Capital also maintained buy rating with a target of Rs 235, implying 25 percent potential upside. It feels valuations are comforting led by bank's formidable liability franchise and healthy subsidiaries.
However, ICICI Securities downgraded the stock to hold from buy as COVID-19 provisions and stress of future along with hangover of Yes Bank would keep the stock performance muted.
At 09:36 hrs, State Bank of India was quoting at Rs 195.20, up Rs 7.40, or 3.94 percent.
The share touched its 52-week high Rs 373.70 and 52-week low Rs 149.55 on 18 July, 2019 and 22 May, 2020, respectively.Currently, it is trading 47.77 percent below its 52-week high and 30.52 percent above its 52-week low.