SBI shares: HSBC, UBS, Jefferies, Macquarie, Citi target prices post Q2 results
Jefferies maintained its Buy rating on SBI and set a target price of Rs 1,320. The brokerage said the bank’s "core performance" was better than the reported numbers suggested, keeping it among its top picks.
- Nov 4, 2026,
- Updated Nov 4, 2026 12:56 PM IST
Shares of State Bank of India (SBI) rose 2% in Wednesday's trade after the lender's September-quarter results drew mixed assessments from brokerages.
The stock touched a high of Rs 987.75, up 1.88% from its previous close of Rs 969.55. It opened at Rs 976 and touched a low of Rs 968.50 during the session.
HSBC maintained its Buy rating but cut its target price to Rs 1,220 from Rs 1,310. The brokerage described the quarter as a case of "mixed performance, outlook remains sanguine". It said the bank's 5% quarter-on-quarter growth in net interest income (NII) was 4% ahead of its estimates, supported by an 11-basis-point expansion in domestic net interest margin (NIM) to 3.11%. HSBC raised its FY27-FY29 earnings per share estimates by 4-8%, citing stronger-than-expected NIM momentum and operating leverage. However, it factored in slower loan growth and lower valuation multiples for some subsidiaries while revising its target.
Jefferies maintained its Buy rating on SBI and set a target price of Rs 1,320. The brokerage said the bank’s "core performance" was better than the reported numbers suggested, keeping it among its top picks. Jefferies expects core profit to grow at a compound annual growth rate (CAGR) of 14% over FY26–FY29, with return on assets (RoA) reaching 1% and return on equity (RoE) touching 15% by FY28. It also highlighted the lender’s strong asset quality.
UBS retained its Neutral rating and lowered its 12-month target price to Rs 1,100 from Rs 1,190. The brokerage flagged that "loan growth of 18.2% YoY" was below expectations, despite the improvement in margins. It also pointed to a 3% miss in pre-provision operating profit (PPOP), driven by higher operating expenses. UBS noted that the bank's reported profit was supported by a one-time gain from the stake sale in SBI Mutual Fund, partly offset by treasury losses. It expects the stock's valuation to limit further upside.
Citi maintained its Buy rating with a target price of Rs 1,300. Its report highlighted "NIMs surprise, growth steady, asset quality clean". The brokerage said NII increased 14% year-on-year (YoY), with NIM expanding by 8 basis points sequentially to 2.94%. It also noted that 49% of SBI's loans are linked to external benchmarks, which could support margins in a rising-rate environment. Citi highlighted improving asset quality, with slippages below 0.5% and credit costs below 0.35%. It estimated the one-time impact of the expected credit loss framework at around Rs 19,500 crore, or 3.3% of net worth.
Macquarie maintained its Outperform rating on SBI and retained a target price of Rs 1,220. The brokerage said "core profitability intact", pointing to healthy loan growth, resilient margins and stable asset quality. It also viewed the impact of the expected credit loss (ECL) transition as manageable, indicating that the bank's underlying performance remained resilient.
Shares of State Bank of India (SBI) rose 2% in Wednesday's trade after the lender's September-quarter results drew mixed assessments from brokerages.
The stock touched a high of Rs 987.75, up 1.88% from its previous close of Rs 969.55. It opened at Rs 976 and touched a low of Rs 968.50 during the session.
HSBC maintained its Buy rating but cut its target price to Rs 1,220 from Rs 1,310. The brokerage described the quarter as a case of "mixed performance, outlook remains sanguine". It said the bank's 5% quarter-on-quarter growth in net interest income (NII) was 4% ahead of its estimates, supported by an 11-basis-point expansion in domestic net interest margin (NIM) to 3.11%. HSBC raised its FY27-FY29 earnings per share estimates by 4-8%, citing stronger-than-expected NIM momentum and operating leverage. However, it factored in slower loan growth and lower valuation multiples for some subsidiaries while revising its target.
Jefferies maintained its Buy rating on SBI and set a target price of Rs 1,320. The brokerage said the bank’s "core performance" was better than the reported numbers suggested, keeping it among its top picks. Jefferies expects core profit to grow at a compound annual growth rate (CAGR) of 14% over FY26–FY29, with return on assets (RoA) reaching 1% and return on equity (RoE) touching 15% by FY28. It also highlighted the lender’s strong asset quality.
UBS retained its Neutral rating and lowered its 12-month target price to Rs 1,100 from Rs 1,190. The brokerage flagged that "loan growth of 18.2% YoY" was below expectations, despite the improvement in margins. It also pointed to a 3% miss in pre-provision operating profit (PPOP), driven by higher operating expenses. UBS noted that the bank's reported profit was supported by a one-time gain from the stake sale in SBI Mutual Fund, partly offset by treasury losses. It expects the stock's valuation to limit further upside.
Citi maintained its Buy rating with a target price of Rs 1,300. Its report highlighted "NIMs surprise, growth steady, asset quality clean". The brokerage said NII increased 14% year-on-year (YoY), with NIM expanding by 8 basis points sequentially to 2.94%. It also noted that 49% of SBI's loans are linked to external benchmarks, which could support margins in a rising-rate environment. Citi highlighted improving asset quality, with slippages below 0.5% and credit costs below 0.35%. It estimated the one-time impact of the expected credit loss framework at around Rs 19,500 crore, or 3.3% of net worth.
Macquarie maintained its Outperform rating on SBI and retained a target price of Rs 1,220. The brokerage said "core profitability intact", pointing to healthy loan growth, resilient margins and stable asset quality. It also viewed the impact of the expected credit loss (ECL) transition as manageable, indicating that the bank's underlying performance remained resilient.