Our Bureau
Mumbai
State Bank of India (SBI) has overtaken Tata Consultancy Services (TCS) to emerge as India’s fourth‑most‑valuable listed company by market capitalisation, marking a striking shift in investor preference from IT to large‑cap banks. The reshuffle follows a sharp rally in SBI shares after the lender posted a robust December‑quarter performance that beat street estimates and added over ₹1 lakh crore to its market value.
SBI’s market cap now stands at around ₹10.9 lakh crore, edging past TCS at roughly ₹10.5 lakh crore and cementing the lender’s position behind Reliance Industries, HDFC Bank and Bharti Airtel in the rankings. The state‑owned lender’s stock has gained about 21% so far this year, while TCS has slipped nearly 8%, reflecting broader concerns over AI‑driven disruption in global IT services.
Analysts say SBI’s rise is underpinned by higher fee income, lower‑than‑expected provisions and improving asset quality, with credit costs remaining benign and slippages moderating. Several brokerages have turned constructive on the bank, revising earnings estimates upward and highlighting strong return‑on‑equity prospects and value from subsidiaries.
The latest reordering underscores a broader market rotation, with investors favouring banks riding on credit growth and stable balance sheets over technology counters facing near‑term uncertainty on pricing and global tech spending.
