State Bank of India (SBI) shares saw heavy selling pressure on February 7, a day after the lender announced its results for the quarter which ended on December 31, 2024. The shares were trading 2 percent lower at Rs 740.25 apiece.
SBI shares worth Rs 467 crore exchanged hands in multiple large trade deals by the afternoon of February 7, as seen at 12.35 pm. The stock currently sees trading volumes nearly 2 times higher than its 10-day average volume. Nearly 1.3 crore shares were involved in active trade, at the time of writing.
The PSU lender had reported an 84 percent YoY increase in net profit at Rs 16,891 crore for the quarter ended December 31, 2024, beating estimates. It had reported a net profit of 9,164 crore in the year-ago period.
Also read: Our LIVE blog on Q3 results
The bank's net interest income meanwhile increased 4 percent to Rs 41,446 crore from Rs 39,816 crore in the year-ago period. Its domestic loans grew 14.06 percent year-on-year.
Notably, bank stocks have been seeing significant volatility since the morning of February 7. This comes as the Reserve Bank of India's MPC, under the new Governor Sanjay Malhotra, cut its repo rate by 25 basis points to 6.25 percent. The rate cut marks the first cut since May 2020. However, the RBI maintained its 'Neutral' stance.
In May 2020, the RBI had lowered the repo rate to 4 percent to cushion the economy from the COVID-19 pandemic's impact. Since then, the central bank has raised the repo rate seven times to 6.5 percent.
The central bank projected GDP growth for the next fiscal at 6.7% and kept its inflation forecast unchanged for the current financial year. It has kept the Consumer Price Index (CPI) inflation projection at 4.8 percent.
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