State Bank of India (SBI) Achieves Dual Milestones

State Bank of India (SBI)has achieved two major operational and market milestones. $100 Billion Market Capitalization: SBI has officially joined the elite $100 billion market-cap club. This achievement places it among India's most valuable corporations, alongside peers like Reliance Industries ($228B), HDFC Bank ($170B), TCS, ICICI Bank, and Bharti Airtel. ₹100 Trillion Total Business: Concurrently, the bank's total business has surpassed the ₹100 trillion mark, underscoring its unparalleled scale. As of September 2025, this comprises ₹44.20 lakh crore in total advances and ₹55.92 lakh crore in deposits. Analysis of Q2 FY26 Performance (September 2025 Quarter) These milestones are underpinned by a better-than-expected performance in the September quarter, which surpassed consensus estimates. Net Profit: SBI reported a net profit of ₹20,160 crore, a 10% year-on-year increase. This figure comfortably exceeded the Street's expectation of ₹17,048 crore. NII Growth: Net Interest Income (NII) grew 3% YoY to ₹42,985 crore, also beating the poll estimate of ₹40,766 crore. One-off Gain: The quarter's results were further bolstered by a one-off gain of ₹4,593 crore from the sale of its stake in Yes Bank. The robust performance is attributed to strong credit growth, fueled by heightened retail spending during the festive season. Stock Performance & Valuation Year-to-date, SBI shares have delivered a return of over 20%. This performance has significantly outpaced both the benchmark Nifty50 (under 9% gain) and the Nifty Bank index (14% gain). Following this sharp up-move, the stock is currently trading at 1.5 times its 12-month forward book value. This represents a slight premium to its five-year average valuation of 1.4 times.