Brokerages estimate 68% rise in profit, 25% growth in interest income

State Bank of India has considerably outperformed the Nifty Bank index over the last 5 years. SBI has given a return of 145 percent over the last 5 years. Whereas the Nifty Bank index has given a return of 69.67 percent over the same duration.

State Bank of India is likely to post a 68 percent rise in profit over the last year on May 18, according to a Moneycontrol average poll of three brokerage estimates. Whereas net interest income (NII) is expected to increase 25.8 percent.

Kotak Institutional Equities expects SBI to report a net profit of Rs 15,889.7 crore, up 74 percent on-year, and 12 percent on-quarter. Accordingly, net interest income (NII) is expected to jump 25 percent and  2 percent to Rs 38,856 crore. Pre Provision Operating Profit (PPOP) is likely to rise 25 percent YoY and 2 percent QoQ to Rs 24,639 crore.

ICICI Direct estimates the net profit at Rs 15,114.2 crore, up 65 percent on-year and 6.4 percent on-quarter, and net interest income (NII) at Rs 38,500 crore, up 23.4 percent and 1.1 percent. Pre Provision Operating Profit (PPOP) is likely to rise by 27.2 percent annually and 3.6 percent sequentially to Rs 32,241 crore.

Motilal Oswal pegs the SBI net profit at Rs 15,167.5 crore, up 66.4 percent year-on-year and 6.8 percent quarter-on-quarter. Net Interest Income (NII) is expected to increase 29 percent YoY and 5.7 percent QoQ to Rs 40,254.6 crore. Pre Provision Operating Profit (PPOP) is likely to rise by 36.5 percent over the last year and 6.8 percent over the last quarter to Rs 26,921.9 crore.

Also Read: BOB posts record 168% surge in quarterly profit, shares rise; brokerages bullish on the stock

Stock Performance

State Bank of India (SBI) stock has considerably outperformed the benchmark Nifty Bank index over the last five years. SBI has given a return of 145 percent during this period, whereas the Nifty Bank index has given a return of 69.67 percent.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.