SBI Share Price Jumps After It Overtakes TCS as Fourth-Largest Company: Should You Buy? See Brokerages’ Target

State Bank of India (SBI) shares surged more than 3% on February 11 after the country's largest public sector lender reported stronger-than-expected third-quarter earnings, lifting investor sentiment. With the rally, SBI has overtaken IT major Tata Consultancy Services (TCS) to become the fourth-largest listed company in India by market capitalisation.

SBI Overtakes TCS to Become India's Fourth-Largest Company by Market Cap

The reshuffle in rankings comes as SBI's market capitalisation rose to Rs 10.92 lakh crore, moving ahead of TCS at Rs 10.52 lakh crore, based on Wednesday's closing data. Despite the change between SBI and TCS, the top three positions remain unchanged.

Reliance Retains No. 1 Spot; HDFC Bank, Bharti Airtel Follow

Reliance Industries continues to lead with a market capitalisation of Rs 19.87 lakh crore, followed by HDFC Bank at Rs 14.16 lakh crore and Bharti Airtel at Rs 11.47 lakh crore. SBI now stands directly behind these three corporate giants.

SBI Share Price Today

State Bank of India shares were trading higher on February 12. At 11:58 am, the stock was quoted at Rs 1,194.00 on the NSE, up Rs 11.10 or 0.94% for the day.

The stock opened at Rs 1,183.00 and witnessed strong buying momentum during the session, climbing to an intraday high of Rs 1,203.70. Notably, this level also marks its 52-week high, indicating that the stock is currently trading at its strongest level in the past one year. On the downside, the intraday low stood at Rs 1,174.80.

The surge in SBI's stock price was driven by its robust Q3 performance, which beat Street expectations on several key metrics. The bank reported a net profit of Rs 21,030 crore for the quarter, marking an 18% beat compared to analysts' estimates. Stronger fee income and lower-than-anticipated provisions played a crucial role in supporting earnings growth.

Net interest income (NII) grew 9% year-on-year to Rs 45,190 crore, reflecting steady core lending performance. The bank's overall net interest margin (NIM) remained stable at 2.99%, while domestic margins improved to 3.12%. SBI's management expressed confidence in sustaining margins above the 3% level in FY26 and beyond, signaling stability in profitability despite evolving interest rate conditions.

On the growth front, SBI's loan book expanded 15.6% year-on-year, significantly outpacing deposit growth of 9%. The faster pace of credit expansion points to sustained demand across segments. Asset quality also showed further improvement during the quarter, with fresh slippages easing and credit costs contained at 29 basis points, reinforcing investor confidence in the bank's risk management framework.

Should You Buy SBI Stock? Check Top Brokerages' Target Price and Recommendation

Following the earnings announcement, brokerages maintained a positive stance on the stock. Motilal Oswal revised its earnings forecasts upward and expects healthy return ratios for SBI in the coming years. The brokerage has factored in approximately Rs 354 per share from subsidiaries in its valuation calculations, highlighting the value embedded in SBI's group entities.

Global brokerage JP Morgan also reiterated its "overweight" rating on SBI, assigning a target price of Rs 1,250. The firm cited the bank's above-system loan growth and relatively strong asset quality performance among large public sector banks as key positives.

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