On heavy buying, shares of State Bank of India today surged by over 7 per cent, adding Rs 12,615 crore to its market valuation, after the company's June quarter earnings beat estimates.
The stock soared 7.16 per cent to settle at Rs 243.20 on BSE. Intra-day, it jumped 9.14 per cent to Rs 247.70.
At NSE, shares of the company zoomed 7.1 per cent to end at Rs 243.30.
The sharp rally led to the company's market valuation rising by Rs 12,614.74 crore to Rs 1,88,790.74 crore.
The stock was the biggest gainer among the bluechips on both Sensex and Nifty.
"SBI's 1Q FY17 asset quality has surprised on the positive side. Lower than expected slippages have helped in reporting better than expected bottom-line," said Siddharth Purohit, Senior Equity Research Analyst-Banking at Angel Broking.
Country's largest lender State Bank of India today reported a massive 77.8 per cent fall in its net profit to Rs 1,046 crore for the June quarter due to nearly two-fold jump in provision for bad loans. However, results were better than the market expectations.
Its total income during the three-month period rose to Rs 69,415 crore against Rs 63,164.5 crore in the April-June quarter of 2015-16.
On standalone basis, the bank's net profit decreased by 32 per cent to Rs 2,520.9 crore for the quarter ended June 30, against Rs 3,692.4 crore in the year-ago period.
Total income on standalone basis increased to Rs 48,928.6 crore during the quarter, against Rs 44,730.87 crore in the same period a year ago.
"SBI results were greeted positively," said Anand James, Chief Market Strategist, Geojit BNP Paribas Financial Services Ltd.
Disclaimer: No Business Standard Journalist was involved in creation of this content
