SBI shares target price – SBI shares hit 52-week low! InCred downgrades stock amid lower return ratios concerns
Shares of State Bank of India (SBI) hit their 52-week low level on Monday amid the weakness in the stock market. The largest state-run lender has seen a downgrade from InCred Equities which has cautioned investors to brace up for lower return ratios, denting the prospects for the lender.
InCred believes that SBI had delivered return on equities (RoE) of 16-17 per cent for the last few years, but they are unsustainable now and may moderate to 13-14 per cent as the credit cost shall normalize and core earnings will be impacted by the rate cut cycle. It also saw return on assets (RoA) to drop to 0.8 per cent for FY26-27E from 1 per cent.
Shares of State Bank of India dropped nearly 1.5 per cent on Monday to Rs 710.90, hitting its 52-week…
