SBI's highest share price target indicates an upside potential of over 40% after Q2 results; Details here

What happened

After State Bank of India’s September-quarter results, analysts cited in the article remain broadly positive: 42 of 49 rate the stock “buy,” seven say “hold,” and none say “sell.” The average target implies 27% upside, while CLSA’s ₹1,325 target is among the highest reported.

Confirmed

Global impact / market context

Analyst views point to expected loan growth and asset quality supporting SBI’s business, while healthy deposits help fund lending. If those conditions hold, income and costs could support earnings; weaker deposit growth or asset quality could instead pressure profits and investor expectations.

Analyst inference

The article presents a range of optimism rather than a guaranteed return: the average analyst target implies 27% upside, and CLSA’s ₹1,325 target is among the highest. Macquarie also cites valuation comfort, meaning its view weighs the share price against expected bank performance.

Analyst inference

What to watch

1. Watch reported loan growth and asset quality, which means the condition of borrowers’ repayments, for signs that lending expansion is being matched by manageable credit problems. Analyst inference
2. Track deposit growth and CASA, meaning current and savings account deposits; CLSA called CASA the only soft spot, so weaker growth could constrain funding for loans. Confirmed
3. Check whether later analyst updates retain their ratings and targets, since changes would indicate that expectations for SBI’s growth, costs, or earnings have shifted. Analyst inference

Evidence

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