Steady NIM, credit costs may drive SBI's re-rating in near-term: Analysts

Worries about the impact of relatively lower capital adequacy levels, comfort of loan mix due to presence of unsecured loans, and NIM contraction cycle have been weighing on the stock

The stock of State Bank of India (SBI) may re-rate soon, believe analysts, if the lender manages to safeguard its net interest margin (NIM) going ahead.

This, along with controlled credit costs, should aid the outlook of the stock which has been underperforming the markets for some time now.

At the bourses, SBI shares opened nearly 1 per cent higher at Rs 583 on the BSE, but erased gains later to hit a low of  Rs 573.20 in the intraday trade. By comparison, the S&P BSE Sensex was up 0.55 per cent at 64,719 at 12:15 PM.

“We believe delivery of growth on