The State Bank of India (SBI) share price has been trading in a range of Rs 180 to Rs 200 for the last one month. According to the stock market experts, SBI shares can move up to Rs 225 level in 3-4 months as the largest Indian commercial bank has reported strong quarterly numbers. They said that if someone holds it for long-term then they can expect SBI stock price to go up to Rs 286 even.
Speaking on the SBI share price, Darpin Shah, Institutional Research Analyst at HDFC Securities said, “SBI 1Q was ahead of estimates across fronts, aided by margin improvement, high treasury gains, and lower provisions. Asset quality improvement was optical, and COVID-19 provisions seem inadequate. Our conservative earnings estimates, consequently, remained mostly unchanged. Asset quality trends and capital raising (given SBI weak capital base and RoAE profile) should be watched for. The term of SBI current chairman is set to end in Oct-20, which creates additional uncertainty. However, SBI has one of the strongest deposit franchises, and this, along with inexpensive valuation, drives our BUY rating for the target price of Rs 286.”
See Zee Business Live TV streaming below:
On immediate resistance and short-term targets in SBI share price SEBI registered technical equity analyst Simi Bhaumik said, “SBI is facing strong resistance at Rs 200 per stock levels. If it manages to break this level and sustains above Rs 200 mark, then we can expect SBI shares to make a fresh high of Rs 225.” On how much time it would take to achieve this target Simi Bhaumik said that after breaking Rs 200 mark, SBI shares will take around 3-4 months in achieving the given targets. On the lower side, she said that SBI has strong support at Rs 180 and any dip to this level should be seen as a buying opportunity.