SBI Shares Surge to New Record High After Record Q3 Profit and Upbeat Guidance

ia (SBI) soared nearly 7% to a fresh all-time high of ₹1,137 in morning trade on Monday, driven by the bank's blockbuster Q3 FY26 results that delivered its highest-ever quarterly profit. The country's largest lender reported a standalone net profit of ₹21,028 crore for the October-December quarter, marking a robust 24.5% year-on-year increase from ₹16,891 crore in the same period last year. This standout performance was fueled by solid core income growth, a one-time special dividend from its asset management arm (preparing for an IPO), and continued improvement in asset quality. Net interest income (NII) rose 9% YoY to ₹45,190 crore, while operating profit jumped significantly amid healthy loan expansion. Asset quality strengthened further, with the gross NPA ratio improving to 1.57% from 1.73% in the previous quarter, and the net NPA ratio declining to 0.39%. Provisions stood at ₹4,506 crore, reflecting lower credit costs compared to prior periods. Adding to investor optimism, SBI's management upgraded its loan growth guidance for FY26 to 13-15%, up from the earlier 12-14%, signaling confidence in sustained momentum across retail, corporate, and other segments. The strong earnings prompted several brokerages to raise their target prices on the stock, with some highlighting SBI's superior performance relative to private peers and its potential for continued efficiency gains. The rally pushed SBI's market capitalization higher, underscoring renewed investor enthusiasm for India's leading public sector bank amid improving macroeconomic conditions and robust banking sector fundamentals.