Is State Bank of India stock a buy right now?
As of May 2025, State Bank of India (SBIN) is trading at approximately ₹790.00 per share on the NSE, with an average daily trading volume of about 11.74 million shares—firmly positioning it among the most actively traded stocks in India's financial sector. Recent quarters have reaffirmed SBI’s strength: despite a slight year-on-year net profit dip this quarter, the bank’s annual profit hit ₹70,901 crore, up over 16% from last year, and its asset quality continues to improve with gross NPAs decreasing to 1.82%. The announcement of SBI’s largest dividend in over a decade at ₹15.90 per share has boosted constructive sentiment among investors, underscored by stable demand and strong institutional participation. The public sector banking space in India is navigating a dynamic rates environment, with cautious optimism despite anticipated margin pressures from potential rate cuts. Against this landscape, SBI’s dominant market share, government backing, and steady reduction in non-performing assets highlight its resilience. Reflecting the consensus among more than 36 national and international banks, the medium-term target price is set at ₹1,027, reinforcing the belief that SBI remains a robust core holding for investors seeking participating exposure to the Indian banking sector’s evolving growth story.
- Market leader with over 22% deposit share and 19% advances in Indian banking.
- Consistent profit growth: 36.3% CAGR in the past five years.
- Asset quality improving: gross NPA down to 1.82%, continuous recovery trend.
- Strong dividend track record and recently declared highest dividend in 12 years.
- Government ownership provides inherent confidence and implicit sovereign support.
- Potential net interest margin pressure if RBI proceeds with rate cuts as expected.
- Credit growth guidance moderated due to current economic and tariff uncertainties.
- What is State Bank of India?
- How much is State Bank of India stock?
- Our full analysis on State Bank of India </b>stock
- How to buy State Bank of India stock in India?
- Our 7 tips for buying State Bank of India stock
- The latest news about State Bank of India
- FAQ
Why trust HelloSafe?
At HelloSafe, our expert has been monitoring the performance of State Bank of India for over three years. Every month, lakhs of users in India rely on us to interpret market trends and spot the best investment opportunities. Our analyses are intended for informational purposes and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, paid or influenced by State Bank of India.
What is State Bank of India?
| Indicator | Value | Analysis |
|---|---|---|
| 🏳️ Nationality | India | SBI is India's largest and oldest public sector bank, offering stability and broad access. |
| 💼 Market | NSE/BSE | Listed on India's NSE and BSE, ensuring strong liquidity for domestic investors. |
| 🏛️ ISIN code | INE062A01020 | Unique ISIN allows easy identification and tracking in all trading and settlement systems. |
| 👤 CEO | CS Setty | CS Setty recently appointed, bringing leadership continuity and deep banking experience. |
| 🏢 Market cap | ₹7.14 trillion | One of the most valuable Indian companies, supporting financial strength and market trust. |
| 📈 Revenue | ₹4.7 trillion (FY25E) | High revenue base highlights SBI’s wide client coverage and diversified banking services. |
| 💹 EBITDA | ₹1.1 trillion (FY25) | Stable growth in operating profits, reflecting healthy core banking operations. |
| 📊 P/E Ratio (Price/Earnings) | 8.89 | Attractive valuation relative to peers, signaling possible upside with moderate risk. |
How much is State Bank of India stock?
The price of State Bank of India stock is declining this week. As of now, SBI is trading at ₹790.00, reflecting a 24-hour decrease of ₹10.00 (-1.25%) but a 2.94% gain over the week.
| Market Cap | Average Daily Volume | P/E Ratio | Dividend Yield | Beta |
|---|---|---|---|---|
| ₹7.14 trillion | 11.74 million shares | 8.89 | 1.72% | 0.55 |
SBI's low beta of 0.55 indicates limited volatility compared to the broader market. With stable fundamentals and improving asset quality, SBI offers steady investment potential, though investors should keep an eye on near-term market shifts.
Check out the best brokers in India!Compare brokersOur full analysis on State Bank of India stock
After a rigorous review of State Bank of India’s (SBIN) latest financial results, alongside a thorough evaluation of its stock performance over the past three years, our in-depth analysis synthesizes financial indicators, technical signals, market data, and peer benchmarks via proprietary algorithms designed for the Indian markets. The evidence points to a robust and evolving narrative for India’s largest lender. So, why might State Bank of India stock once again become a strategic entry point into the financial sector in 2025?
Recent Performance and Market Context
State Bank of India is at a pivotal juncture, reflecting both the challenges and the resilience inherent to India’s banking system. Over the last twelve months, SBIN has delivered a moderate decline of -4.99%, while the six-month performance stands at -6.97%. Despite this short-term softness, the stock has recovered 2.94% in the past month, signaling a nascent shift in sentiment.
Recent developments reinforce this improving outlook:
- Record Dividend Announcement: SBIN has declared a ₹15.90 per share dividend—the highest in over a decade—rewarding shareholders and signaling strong underlying profitability.
- Capital Raising Initiative: Plans to raise up to ₹25,000 crore in FY26 position the bank to expand lending and fortify its capital base, enhancing future growth flexibility.
- Continued Asset Quality Enhancement: The gross NPA ratio improved meaningfully to 1.82% (down 42 basis points year-on-year), underscoring prudent risk management amid a challenging environment.
The larger backdrop is equally compelling. Even as the bank revised its credit growth outlook to 12–13% (from 14–16%), this remains robust in the context of global economic uncertainty. India’s banking sector is benefiting from financialization, resilient GDP growth forecasts, and the ongoing push for digital and inclusive banking—macroeconomic trends that disproportionately favor well-capitalized market leaders like SBI. Overall, recent consolidation in SBIN’s share price may present discerning investors with a favorable re-entry point.
Technical Analysis
From a technical perspective, SBIN shows intriguing setup characteristics:
- Relative Strength Index (RSI, 14): At 55.80, SBIN sits in neutral territory, neither overbought nor oversold, allowing for significant upward price mobility without technical impediments.
- MACD (12,26,9): The mildly bearish reading of -0.25 suggests recent consolidation, while the lack of extreme negative divergence points to potential for a bullish reversal.
- Moving Averages:
- SBIN trades below its short-term (5-day: ₹803.44) and long-term (200-day: ₹795.12) simple moving averages, but is above key medium-term support (20-, 50-, and 100-SMA). This crossover structure often precedes a trend reversal as buyers emerge near cluster supports.
Key support levels are identified at ₹780, ₹760, and ₹740, while resistance stands at ₹810, ₹830, and ₹850. Notably, the stock currently trades just above its strongest medium-term supports and below resistance, suggesting a phase of accumulation ahead of a possible breakout. The technical backdrop, marked by stable momentum indicators and recent price recovery, appears supportive of a constructive outlook.
Fundamental Analysis
The fundamental case for SBIN has rarely been stronger:
- Resilient Profitability: FY25 net profit surged to ₹70,901 crore, up a sizable 16.08% year-on-year, with operating profit even stronger at 17.89% annualized growth. This demonstrates SBIN’s ability to weather macroeconomic headwinds while expanding shareholder value.
- Attractive Valuation:
- P/E Ratio: At just 8.89, SBIN trades well below the sector average, offering a significant margin of safety alongside its high earnings power.
- Dividend Yield: A robust 1.72%—rare for a major Indian bank—complements capital appreciation with steady income.
- Book Value per Share: ₹546 with a strong ROE of 17.21% underscores efficient capital utilization.
- Strategic Advantages:
- Market Leadership: With over 22% market share in deposits and nearly 20% in advances, SBIN commands unrivaled scale and a nationwide franchise.
- Consistent Profit Growth: Five-year profit CAGR stands at 36.3%—a testimony to operational excellence even in volatile cycles.
- Improving Asset Quality: Each year, the bank delivers lower NPAs, a reflection of discipline in credit origination and recovery.
In addition, government ownership (57.43%) ensures implicit sovereign support, supporting confidence even during market dislocations.
Volume and Liquidity
SBIN is one of India’s most liquid stocks, with a three-month average daily trading volume of 11.74 million shares. This level of participation reflects deep institutional interest and underlines the stock’s capacity to sustain large trades without volatility spikes. Such sustained liquidity is both a sign of market confidence in SBIN’s outlook and a facilitator for dynamic price discovery. The large free float and high average volume combine to make SBIN a versatile instrument for both strategic investors and tactical traders seeking dependable execution and fair valuation.
Catalysts and Positive Outlook
Several forward-looking factors are converging to reinforce the bank’s bullish narrative:
- Capitalization and Expansion: The upcoming ₹25,000 crore capital raise will further strengthen SBIN’s capacity to finance growth across core and emerging sectors, and prepare the bank for higher credit demand once macro headwinds subside.
- Dividend and Returns: The record payout for FY25 establishes a benchmark for future dividend growth and makes SBIN increasingly attractive to dividend-oriented portfolios.
- ESG and Innovation: SBI continues to lead in digital transformations and ESG initiatives, with substantial investments in sustainable lending, financial inclusion, and the expansion of its YONO digital platform.
- Sector Tailwinds: India’s sustained digitalization, positive regulatory signals, and resilient consumption trends are potent tailwinds that support renewed optimism in the financial sector, led by market leaders.
Additionally, a possible reduction in interest rates by the RBI could serve as a mid-term growth catalyst for lending and asset price appreciation, particularly once margin recalibration stabilizes.
Investment Strategies
Investors may consider multiple entry strategies:
- Short-Term Positioning: For tactical investors, SBIN currently stands just above key technical support zones (₹780, ₹760, ₹740), implying a favorable risk-reward dynamic should a technical rebound materialize. A breakout above resistance at ₹810 could trigger additional upside momentum.
- Medium-Term Perspective: The present consolidation phase, coupled with visible fundamental improvement and high liquidity, allows investors to accumulate positions incrementally ahead of the capital raise and anticipated sector recovery.
- Long-Term Holding: For core portfolio allocation, SBIN’s structural strengths—government backing, superior market share, disciplined asset quality, and consistent dividend record—justify a place as a foundational banking sector exposure. This is particularly compelling for investors seeking to benefit from India’s ongoing economic transformation.
Ideal positioning now appears to be at or near the current trading range, leveraging volatility around ex-dividend and capital raise events to optimize average entry cost, with the patience to capture pending upward catalysts.
Is it the Right Time to Buy State Bank of India?
In our analysis, SBIN exhibits a rare convergence of market leadership, consistent profit growth, improved asset quality, and attractive valuation that merit renewed investor attention. The dividend yield stands at a decade-high; the price-to-earnings ratio is comfortably below sector norms; and technical patterns suggest the possibility of a bullish reversal. With high liquidity facilitating efficient entry and exit, and the bank’s proven ability to adapt to shifting macro conditions, the environment seems increasingly favorable for those considering exposure to India’s preeminent banking franchise.
The upside potential is underscored by consensus analyst targets, macroeconomic tailwinds, and a visible pipeline of catalysts through FY26. Short-term volatility may persist, but the fundamentals justify renewed interest and SBIN appears poised to benefit substantially from India’s next wave of economic growth.
In conclusion, State Bank of India seems to represent an excellent opportunity within the Indian equity landscape, blending defensive strength with the potential for superior returns as the sector enters a new growth phase. For investors seeking a compelling blend of stability and upside, SBIN’s current setup provides plenty of reasons for conviction.
How to buy State Bank of India stock in India?
Purchasing State Bank of India (SBI) shares online has never been easier or safer for Indian retail investors. Thanks to regulatory oversight by SEBI, you can buy SBI stock seamlessly using a trusted, registered online broker. There are two main investment options: classic spot (cash) buying, which gives you direct ownership of SBI shares, and Contracts for Difference (CFDs), which allow you to speculate on SBI’s price movements with leverage. Each method suits different objectives and risk profiles—check our detailed broker comparison further on the page to find the best fit for your needs.
Spot Buying
A spot (cash) purchase means you buy State Bank of India shares outright on the National Stock Exchange (NSE) or Bombay Stock Exchange (BSE). This method grants you full ownership, voting rights, and eligibility for dividends. Most leading brokers in India charge a modest fixed commission per order, often around ₹20 to ₹50, or a small percentage of trade value (usually 0.05%–0.5%), plus applicable taxes.
Concrete example
If State Bank of India shares are trading at ₹790.00, with $1,000 (approximately ₹83,000 as per current rates), you can buy about 105 SBI shares after accounting for a typical ₹400 brokerage fee (around $5).
✔️ Gain scenario:
If the SBI share price rises by 10%, your shares are now worth ₹90,970 (or $1,100 approx).
Result: +₹8,300 gross gain (about +$100), a 10% return on your investment.
Trading via CFD
CFD (Contract for Difference) trading lets you speculate on SBI share price movements without owning the stock. You trade via an online broker, profiting from both rising and falling prices. CFD platforms usually apply a spread (the gap between buy and sell prices) and, if you keep positions overnight, a daily financing fee. CFDs also enable leverage, meaning you can control a larger position with less capital—but this increases both potential gains and risks.
Example with $1,000 stake and 5x leverage
Say you open a CFD position on SBI with $1,000 (₹83,000) and 5x leverage, giving you ₹415,000 ($5,000) market exposure.
✔️ Gain scenario:
If the stock rises by 8%, your position gains 8% × 5 = 40%.
Result: +$400 gain (about ₹33,200) on your initial $1,000 outlay, before fees.
Final Advice
Before you invest in State Bank of India shares, it’s essential to compare brokers’ fees, trading platforms, and conditions. Each broker offers different commission structures, account features, and support for spot or CFD trading—refer to our detailed comparison table below for guidance. Ultimately, your best choice depends on your goals: whether you seek long-term ownership with dividends, or prefer the flexibility and leverage of CFDs for shorter-term strategies. Assess your risk profile and investment horizon carefully before taking the next step.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is EightCap reliable?
Yes, EightCap is a trusted platform regulated by ASIC (Australia) and FCA (United Kingdom). Since 2009, it has ensured the security of funds with segregated accounts and a rigorously regulated trading environment. If you are looking for a reliable broker to start with, EightCap is a safe bet, recognised in the industry.
Why choose EightCap?
EightCap combines performance and flexibility. The platform offers a wide selection of assets and tools such as MT4 and MT5, perfect for demanding traders. Are you a beginner? No problem: its demo accounts and innovative integrations like TradingView make learning intuitive and effective.
What are the fees at EightCap?
At EightCap, fees depend on the account you choose: Raw accounts display spreads from 0 pip, with a commission of $3.5 per lot. Standard accounts have slightly higher spreads but no commissions. No fees on deposits or withdrawals, for clear and controlled costs.
Who is EightCap for?
Whether you are a beginner or an experienced trader, EightCap is designed to meet your needs. Are you starting out? Take advantage of guides and demo accounts to understand the basics. Are you more advanced? Tools like MT5 and competitive spreads will allow you to go further in your strategies.
Is it easy to withdraw money from EightCap?
Withdrawing your earnings on EightCap is quick and easy. Requests are processed within 24 hours and you can use flexible options such as bank transfer, cards or e-wallets. Security and speed are at the heart of the service.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Avatrade reliable?
AvaTrade is a trusted broker regulated by major institutions, including the AMF in France, the Central Bank of Ireland, ASIC (Australia), and FSA (Japan). Active since 2006, it offers solid guarantees, including the segregation of client funds and strict compliance with international standards. With over 300,000 active users, it inspires confidence in both novice and experienced traders.
Why choose Avatrade?
AvaTrade combines simplicity and expertise. Tutorials, demo accounts, and free training help you learn at your own pace. Advanced tools like MT4/MT5 offer endless possibilities as you progress. You don’t need to be an expert: AvaTrade adapts to you.
What are the fees at Avatrade?
AvaTrade offers simple and affordable fees: competitive fixed spreads, no deposit or withdrawal fees, and inactivity costs that can be avoided with regular use. You can focus on learning and your investments without surprises when it comes to paying.
Who is Avatrade for?
AvaTrade is for everyone: beginners can take advantage of detailed educational content and demo accounts, while advanced traders will find tools like automated trading or Vanilla options. If you are looking for a reliable platform to develop your skills or diversify your assets, AvaTrade is an excellent choice.
Is it easy to withdraw money from Avatrade?
Yes, AvaTrade offers a fast and secure withdrawal process. Once your account is verified, your requests are processed within 1 to 2 business days. You can use various options such as bank cards, wire transfers, or e-wallets. Everything is designed to provide you with fast, clear, and secure access.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Is Vantage reliable?
Vantage is a reliable broker, regulated by recognized authorities such as ASIC (Australia) and FCA (United Kingdom). It stands out for the security of its client accounts, protected by top-tier banks, and its commitment to transparency. With over 15 years of experience, Vantage is a trustworthy platform.
Why choose Vantage?
Vantage distinguishes itself by its balance between accessibility and professional tools. Beginners benefit from support with demo accounts and educational resources, while experienced traders appreciate the competitive spreads, fast execution, and advanced platforms like MT4/MT5. With a varied range of assets and transparent fees, Vantage caters to a wide audience seeking reliable and high-performance trading conditions.
What are the fees at Vantage?
The fees at Vantage are adapted to everyone. On ECN accounts, spreads start at 0 pip with a commission of $3 per lot. Standard accounts offer slightly higher spreads, but without commission. No deposit or withdrawal fees are applied, and the cost of inactivity is limited. With Vantage, you keep control of your costs to invest effectively.
Who is Vantage for?
Vantage is perfect for traders looking for professional conditions, while remaining accessible to beginners. If you want a fast platform, competitive fees and advanced tools, Vantage is an excellent choice. Whether you are learning or perfecting your strategies, you will find the necessary resources.
Is it easy to withdraw money from Vantage?
Withdrawing funds from Vantage is fast and secure. Requests are processed in less than 48 hours and you can choose between bank transfer, cards or electronic wallets. The platform guarantees smooth transactions and reduced fees, allowing you to easily access your earnings.
Our 7 tips for buying State Bank of India stock
| Step | Specific tip for State Bank of India |
|---|---|
| Analyze the market | Review SBI’s price trends, analyst targets, and sector outlook; note that the majority consensus suggests potential upside, but also consider near-term macroeconomic risks impacting Indian public sector banks. |
| Choose the right trading platform | Use a SEBI-registered broker that offers NSE and BSE access; ensure the platform supports Indian Rupee transactions and offers reliable customer support tailored for Indian retail investors. |
| Define your investment budget | Decide on an amount that aligns with your financial goals and risk appetite; SBI’s moderate volatility and government backing allow it to be a strong core position, but always diversify your holdings. |
| Choose a strategy (short or long term) | Opt for a long-term approach to benefit from SBI’s market dominance, consistent profit growth, and attractive dividend yield; consider short-term trades only if you are experienced with market timing. |
| Monitor news and financial results | Stay up to date with SBI’s quarterly results, management commentary, RBI policy changes, and government initiatives, as these can quickly influence the stock’s short-term direction. |
| Use risk management tools | Set realistic stop-loss orders or price alerts at support levels (such as ₹780 or ₹760) to limit downside; periodically review your portfolio allocation based on your risk profile. |
| Sell at the right time | Plan to book profits gradually as SBI approaches resistance levels (₹810, ₹830, ₹850), especially around major announcements or if you achieve your investment objectives. |
The latest news about State Bank of India
SBI declared its highest dividend in 12 years at ₹15.90 per share for FY25, record date May 16, 2025.
The State Bank of India’s board approved a final dividend of ₹15.90 per share for FY25—the highest in over a decade—delighting shareholders and enhancing the stock’s total return profile. This generous distribution underscores the bank’s robust profitability and stable capital position. With the record date set for May 16, 2025, and payment slated for May 30, 2025, the move has been well received by both institutional and retail investors, especially given its status as a core holding in long-term portfolios. This announcement also reflects SBI’s longstanding commitment to rewarding shareholders and its confidence in sustainable earnings going forward.
The bank reported improved full-year net profit and operating profit, with FY25 net profit growing over 16% year-on-year.
SBI posted an FY25 net profit of ₹70,901 crore, representing a robust 16.08% increase from the previous year, while operating profit surged nearly 18% year-on-year. Despite a drop in Q4 profits due to higher provisions, the annual numbers demonstrate strong underlying momentum from both its core lending and fee-based businesses. The sustained growth validates SBI’s resilience amid challenging macroeconomic conditions and highlights effective cost management, making the bank a bright spot within the public sector banking space in India.
Asset quality has significantly improved, as evidenced by gross non-performing assets dropping to 1.82%.
SBI’s gross NPA ratio fell by 42 basis points year-on-year to just 1.82% as of the end of March 2025, the lowest level in several years. This reflects effective risk management and intensified recovery initiatives, further evidenced by the net NPA ratio improving to 0.47%. The consistent reduction in bad loans reassures markets about SBI’s prudence and bodes well for future earnings, as lower credit costs can support profitability even in a softer credit growth environment.
SBI announced plans to raise up to ₹25,000 crore in FY26 through QIP or FPO to fuel growth ambitions.
Reaffirming its growth trajectory and capital adequacy focus, SBI’s board approved a fundraising plan of up to ₹25,000 crore via qualified institutional placements or follow-on public offers in the upcoming fiscal year. This move aims to strengthen the balance sheet, bolster lending capacity, and ensure compliance with regulatory capital requirements, positioning SBI to seize opportunities in both retail and corporate credit segments. The capital-raising plan signals strong management confidence in growth prospects, which is viewed positively by market participants.
Analyst consensus remains bullish, with a target price of ₹929.74, reflecting nearly 18% upside potential.
Major domestic and international brokerages continued to reaffirm their bullish outlook on SBI, with approximately 79% of analysts assigning “Buy” recommendations and an average target price of ₹929.74. This suggests a sizeable upside from the current market price, supported by the bank’s improving fundamentals, steady return on equity of 17.21%, low price-to-earnings ratio of 8.89, and resilient sectoral positioning. The constructive analyst sentiment provides further validation for long-term investors looking for exposure to the Indian banking sector’s leading franchise.
FAQ
What is the latest dividend for State Bank of India stock?
State Bank of India currently pays a dividend. For FY25, the bank declared a dividend of ₹15.90 per share, with the record date set for May 16, 2025, and the payment scheduled for May 30, 2025. This is the highest dividend SBI has announced in 12 years and reflects its strong operating performance. The dividend yield at the current price stands at around 1.72%. Historically, SBI has maintained a reliable dividend payout, underlining its status as a stable income-generating stock.
What is the forecast for State Bank of India stock in 2025, 2026, and 2027?
Based on the current market price of ₹790.00, the projected share values are ₹1,027.00 for the end of 2025, ₹1,185.00 for the end of 2026, and ₹1,580.00 for the end of 2027. These estimates suggest meaningful upside potential in the medium term. As India’s largest bank with consistent profit growth and strengthening asset quality, SBI benefits from sector momentum and robust fundamentals that support a positive outlook.
Should I sell my State Bank of India shares?
Holding on to your State Bank of India shares may be a prudent approach, considering the company’s strong fundamentals and leading market position. Despite recent share price fluctuations, SBI’s improving asset quality, consistent profit growth, and substantial government backing provide stability. The bank’s attractive valuation and healthy dividend policy further strengthen its long-term investment appeal. For investors with a mid- to long-term horizon, SBI continues to appear well-positioned within the Indian financial sector.
What taxes apply to gains and dividends from State Bank of India stock in India?
In India, long-term capital gains (from shares held over one year) are taxed at 10% on profits exceeding ₹1 lakh, while short-term gains are taxed according to your income slab. Dividends from SBI are added to your income and taxed at your applicable income tax rate, since the Dividend Distribution Tax has been abolished. Investors should also note there is no withholding tax on domestic dividends for resident individuals in India.
What is the latest dividend for State Bank of India stock?
State Bank of India currently pays a dividend. For FY25, the bank declared a dividend of ₹15.90 per share, with the record date set for May 16, 2025, and the payment scheduled for May 30, 2025. This is the highest dividend SBI has announced in 12 years and reflects its strong operating performance. The dividend yield at the current price stands at around 1.72%. Historically, SBI has maintained a reliable dividend payout, underlining its status as a stable income-generating stock.
What is the forecast for State Bank of India stock in 2025, 2026, and 2027?
Based on the current market price of ₹790.00, the projected share values are ₹1,027.00 for the end of 2025, ₹1,185.00 for the end of 2026, and ₹1,580.00 for the end of 2027. These estimates suggest meaningful upside potential in the medium term. As India’s largest bank with consistent profit growth and strengthening asset quality, SBI benefits from sector momentum and robust fundamentals that support a positive outlook.
Should I sell my State Bank of India shares?
Holding on to your State Bank of India shares may be a prudent approach, considering the company’s strong fundamentals and leading market position. Despite recent share price fluctuations, SBI’s improving asset quality, consistent profit growth, and substantial government backing provide stability. The bank’s attractive valuation and healthy dividend policy further strengthen its long-term investment appeal. For investors with a mid- to long-term horizon, SBI continues to appear well-positioned within the Indian financial sector.
What taxes apply to gains and dividends from State Bank of India stock in India?
In India, long-term capital gains (from shares held over one year) are taxed at 10% on profits exceeding ₹1 lakh, while short-term gains are taxed according to your income slab. Dividends from SBI are added to your income and taxed at your applicable income tax rate, since the Dividend Distribution Tax has been abolished. Investors should also note there is no withholding tax on domestic dividends for resident individuals in India.
