State Bank of India

Financial Services — Banks - Regional · NSE

₹962.60+₹2.60 (+0.27%)

DalalBaazaar Score

77 / 100

🟢 Good

Verdict

REASONABLE

Risk

Low

No individual risk factor stands out on this snapshot.

In simple words: Strong business and financial position, with modest growth. Nothing obvious stands out as stretched — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:00 pm

Understanding the Business

Company site ↗

The 60-second version of State Bank of India — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

State Bank of India provides banking products and services in India and internationally. The company operates through the Treasury, Corporate/Wholesale Banking, Retail Banking, and Other Banking Business segments.

IndustryBanks - Regional

SectorFinancial Services

Employees2,45,131

Annual revenue₹3.82 L Cr

How does it make money?

Turns over ₹3.82 L Cr a year. Of every ₹100 of sales, about ₹22 reaches shareholders as profit. Each of its 2,45,131 employees supports ₹1.56 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹1.56 Cr

Who are its competitors?

The closest listed comparisons in its industry are HDFC BANK LTD, ICICI BANK LTD., KOTAK MAHINDRA BANK LTD, AXIS BANK LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

Peer median ROE13.8%

What is the outlook?

29 analysts covering the stock expect revenue to grow about 14.3% and earnings to grow about 11.7% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+14.3%

Est. earnings growth+11.7%

Analysts29

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +41% while net margin moved +6% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+41%

Margin effect+6%

DalalBaazaar Score

77/ 100

Good

Weighted across six categories. Every point is explained below.

• Shareholders fund 7.2% of the balance sheet, which is within the normal range for a bank
• Capital adequacy, gross NPAs and provision coverage decide a lender's financial health, and none are available here — check the bank's own quarterly disclosure

Quality vs. Valuation

Company Quality

76/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

80/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

10.3x

3Y Median

10.9x

40 monthly readings · mean 11.1x · range 9.0x–14.0x

Sector Median

17.0x

median of 4 sector peers

🟡Currently trading close to its 3y median of 10.9x — the market is paying about what it usually pays for this company.

🟢Against its sector it trades 39% below the peer median of 17.0x.

vs. its own history

Fair

10.9x median over 40 months · -5%

vs. sector peers

Cheap

17.0x median of 4 peers · -39%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

—

PEG

0.72

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Cheaper than its peers
It trades 39% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

No clear risk case emerges from the available numbers — which is not the same as there being none.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 9% a year✓ 12.2% CAGR
Latest reported year was 10.3%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2Return on equity stays above 13%✓ 15.2%
For a lender this is the cleanest single read on whether the book is being grown profitably.
3Valuation vs its own median of 10.9x✓ 10.3x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

8 / 10 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ Manageable leverage (Debt/Equity < 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

7 good · 4 neutral · 0 weak

Market Cap

₹8.89 L Cr

Large Cap

Large, widely-covered business — typically the steadiest of the bands

P/E (Trailing)

10.3x

Cheap

Cheap against the generic band

P/B Ratio

1.43x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹93.3

Profitable

Profitable on a per-share basis

ROE

15.2%

Strong

Strong capital efficiency

ROCE

Not meaningful

N/A for lenders

Banks and NBFCs don't report capital employed the way other businesses do

Debt/Equity

1.22x

Moderate

Moderate leverage

Revenue Growth (YoY)

10.3%

Healthy

Healthy top-line growth

Profit Growth (YoY)

9.9%

Modest

Slow profit growth

Dividend Yield

1.80%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹29,734 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

9.1x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

ROA

1.1%

Weak

Assets generate little profit

Operating Margin

35.7%

Good

Healthy core-business profitability

Net Margin

22.4%

Good

Strong bottom-line conversion

Beta (vs Nifty)

0.41

Defensive

Steadier than the market

52W Range Position

21%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

966.0 / 1009.7

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

41.5

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2.70 L Cr	₹3.24 L Cr	₹3.50 L Cr	₹3.82 L Cr	+12.2%
PAT (Net Profit)	₹55,648 Cr	₹67,085 Cr	₹77,561 Cr	₹83,299 Cr	+14.4%
EPS	₹62.35	₹75.17	₹86.91	₹91.16	+13.5%
ROE	15.5%	16.2%	15.9%	14.0%	—
Total Debt	₹5.22 L Cr	₹5.57 L Cr	₹6.18 L Cr	₹7.27 L Cr	+11.7%
Free Cash Flow	-₹90,057 Cr	₹17,457 Cr	₹39,847 Cr	₹29,734 Cr	—

🟢 Revenue has grown at 12.2% a year over 3 years.

🟢 PAT (Net Profit) has grown at 14.4% a year over 3 years.

🟢 EPS has grown at 13.5% a year over 3 years.

🔴 ROE has fallen from 15.5% to 14.0% over 3 years (-1.5 pts).

🔴 Total Debt has grown at 11.7% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹90,057 Cr to ₹29,734 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹83.22 L Cr

Total Liabilities

₹77.07 L Cr

Cash & Equivalents

₹6.67 L Cr

Operating Cash Flow

₹38,097 Cr

Capex

-₹8,363 Cr

Shareholding (proxy)

Institutional Holding

28.9%

Insider Holding

57.2%

Corporate Actions

Next Earnings

04 Nov 2026

Dividend Rate

₹17.35

Ex-Dividend Date

15 May 2026

Analyst Consensus

Recommendations

34 Buy · 6 Hold · 0 Sell

Target Price (Mean)

₹1,255.41

+30.4% vs CMP

Target Range

₹1,020 – ₹1,390

Peer Comparison

Company	P/E	ROE
HDFC BANK LTD	15.9x	13.8%
ICICI BANK LTD.	18.1x	16.5%
KOTAK MAHINDRA BANK LTD	21.9x	11.2%
AXIS BANK LIMITED	14.5x	13.4%

Recent News

2 mixed4 general

State Bank of India (NSEI:SBIN) Stock Forecast & Analyst Predictions

Simply Wall Street, 13 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

State Bank Of India Share Price Fall: Key Valuation View

Univest, 12 OctPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Bank of India Share Price - Live NSE: BANKINDIA Stock Price & Chart

Upstox, 16 Oct

SBIN Outlook for the Week

Equitypandit, 09 Oct

SBI, Axis, Kotak Mahindra rise up to 3%: Read why banking stocks are gaining today

India Infoline, 09 Oct

State Bank of India (NSEI:SBIN) Stock Price

Simply Wall Street, 09 Oct

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Growth · Profitability · Valuation · Risk

MiddlingFinancial Health

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last.

All 3 tripwires holding · see Key things to watch ↑