Vishal Goyal positive on PSU banks, prefer SBI

Vishal Goyal, Executive Director - Leading Banks & Fin Research at UBS told CNBC-TV18, "We are very positive on the PSU banking sector. On the PSUs we cover only three names. Within those obviously SBI is a preferred pick. It has corrected from its highs. So, it is now available at reasonable valuations."

"They have also raised capital. So, they are slightly better capitalised versus others. Plus also their restructured loan book if you look at their base book it is only around 3.5 percent which is quite low compared to other names," he added.

At 13:44 hrs State Bank of India was quoting at Rs 2,510.25, down Rs 11.80, or 0.47 percent.

The share touched its 52-week high Rs 2,833.85 and 52-week low Rs 1,510.80 on 26 May, 2014 and 04 September, 2013, respectively.