Money on the markets

A maturing market amid the mayhem

SBI shares gain over 4 pct

September 8, 2009

Shares of India’s biggest bank, State Bank of India (SBI), gained over 4 percent on Tuesday and ended as the top gainer in the banking index.

SBI’s chairman said that earnings of the bank are seen rising 30-35 percent in the current quarter, with retail loans growing at about twice the pace from the year earlier.

The banking index, which ended just 0.4 percent higher, has gained over 90 percent since April.

Shares in SBI closed at 1894 rupees, and have gained 78 percent since April. In terms of returns, India’s top private sector bank ICICI has outperformed SBI with a return of 138 percent during the same period.

But some of its smaller peers have generated eye-popping returns. Yes Bank, for instance, has gained 245 percent since April, while Allahabad Bank has jumped 152 percent.

After this surge, would you now be keen to invest in banking stocks?

Comments

Yes, the show must go on. :)

Posted by r | Report as abusive
 

Post Your Comment

We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
  •