State Bank of India, on Monday, slipped out of the top 10-most valued companies list on the Bombay Stock Exchange. It has been replaced by Bajaj Finance at the 10th spot. As of Monday morning, SBI had a market capitalisation of over Rs 2.85 lakh crore, while Bajaj Finance had a m-cap of over Rs 2.87 lakh crore.
SBI's share price has seen a dip of almost 7 per cent since the beginning of the year. The share price further fell on Monday as investors were concerned about rising NPAs due to the bank's exposure to the telecom industry.
On the other hand, Bajaj Finance's share price witnessed a jump of 60 per cent in the calendar year 2019. In its Q3 results, Bajaj Finance announced that its net profit rose 52 per cent in Q3 compared with Rs 1,060 crore profit in the year-ago quarter. Total income rose 41 per cent to Rs 7,026 crore for in Q3 against Rs 4,992 crore in year ago period. Net interest income rose 42 per cent at Rs 4,537 crore in Q3 compared to Rs 3,206 crore in the corresponding period of previous fiscal. Interest income rose 39 per cent to Rs 6,105 crore in last quarter from Rs 4,387 crore in Q3 of 2018-19.
SBI, even with an exposure of Rs 29,000 crore to the telecom industry reported its highest-ever quarterly result. The SBI posted 41.17 per cent year-on-year (YoY) growth in standalone profit at Rs 5,583.36 crore for the third quarter ended December 31, 2019, compared to Rs 3,955 crore a year earlier. The public sector lender's net interest income (NII) rose by 22.42 per cent to Rs 27,779 crore in Q3FY20 from Rs 22,691 crore in Q2FY19. Domestic Net Interest Margin (NIM) improved to 3.59 per cent in Q3FY20, registering an increase of 62 basis points (bps) YoY and 37 bps sequentially.
Reliance Industries, with an m-cap of Rs 9.42 lakh crore is the most-valued company in the BSE, followed by Tata Consultancy Services with m-cap of Rs 8.19 lakh crore, HDFC Bank with Rs 6.67 lakh crore, Hindustan Unilever with Rs 4.88 lakh crore, Housing Development Finance Corp (HDFC) with Rs 4.15 lakh crore, ICICI Bank with Rs 3.53 lakh crore, Infosys with Rs 3.34 lakh crore, Kotak Mahindra Bank with Rs 3.21 lakh crore, Bharti Airtel with Rs 3.08 lakh crore, and Bajaj Finance with Rs 2.87 lakh crore.