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Highlights

• Refinitiv consensus maintains a “buy” rating on HDFC Bank, ICICI Bank, Canara Bank and SBI.
• SBI reported its highest-ever quarterly net profit at ₹21,028 crore in Q3FY26, marking a 24.49% year-on-year increase.
• Canara Bank posted a 25.61% year-on-year rise in net profit, alongside improvements in gross and net NPA ratios.

Indian banking stocks are drawing market attention as the consensus rating remains “buy” for major lenders including HDFC Bank, ICICI Bank, Canara Bank, and State Bank of India, as per Refinitiv data. Target prices stand at ₹1,157.76 for HDFC Bank, ₹1,711.92 for ICICI Bank, ₹161.16 for Canara Bank and ₹1,193.59 for SBI.

Furthermore, the latest earnings updates highlight revenue expansion, loan growth and asset quality trends across both private and public sector lenders.

HDFC Bank: Revenue and Profit Growth Continue

For the quarter ended December 31, 2025, HDFC Bank reported net revenue of ₹458.7 billion, up 8.9% from ₹421.1 billion a year earlier. Net interest income rose 6.4% to ₹326.2 billion, while core net interest margin stood at 3.35% on total assets.

Other income reached ₹132.5 billion, driven by fees and commissions of ₹92.3 billion and treasury gains of ₹9.3 billion. Operating expenses were ₹187.7 billion, with the core cost-to-income ratio at 39.2%.

For the nine months ended December 2025, total income stood at ₹2,802.5 billion compared with ₹2,566.6 billion in the corresponding period last year. Profit after tax for the nine-month period increased 11.5% to ₹554.5 billion.

ICICI Bank: Loan Growth and Provisioning Impact

ICICI Bank reported a 6.0% year-on-year rise in core operating profit to ₹175.13 billion in Q3FY26. Profit after tax stood at ₹113.18 billion.

Provisions for the quarter were ₹25.56 billion, including ₹12.83 billion in additional standard asset provisioning following the Reserve Bank of India’s supervisory review related to agricultural priority sector lending. Domestic loans grew 11.5% year-on-year, while the business banking portfolio expanded 22.8%. Retail loans recorded 7.2% growth.

Canara Bank: Profit Jumps Over 25%

Canara Bank’s global business rose 13.23% year-on-year to ₹27,13,594 crore as of December 2025. Net profit increased 25.61% to ₹5,155 crore, while operating profit rose 16.36% to ₹9,119 crore.

Gross NPA ratio improved to 2.08%, and net NPA ratio declined to 0.45%. Provision Coverage Ratio stood at 94.19%. Retail credit growth reached 31.37%, supported by housing and vehicle loans.

SBI: Record Quarterly Profit and Asset Quality Gains

State Bank of India reported quarterly net profit of ₹21,028 crore in Q3FY26, up 24.49% year-on-year. Operating profit climbed 39.54% to ₹32,862 crore.

Total business crossed ₹103 trillion, with advances exceeding ₹46 trillion. Gross NPA ratio improved to 1.57%, while net NPA ratio stood at 0.39%. Credit cost for the quarter was 0.29%, and capital adequacy ratio stood at 14.04%.

With consensus “buy” ratings across leading lenders and defined target prices, these banking stocks continue to attract investor attention amid evolving credit and regulatory dynamics.

Frequently Asked Questions (FAQs)

1. What are the consensus target prices for major banking stocks?
   Refinitiv data shows target prices of ₹1,157.76 for HDFC Bank, ₹1,711.92 for ICICI Bank, ₹161.16 for Canara Bank and ₹1,193.59 for SBI.
2. Which bank reported the highest quarterly net profit in Q3FY26?
   SBI posted the highest quarterly net profit at ₹21,028 crore in Q3FY26.
3. How did asset quality trends appear in Q3FY26?
   Both Canara Bank and SBI reported improvements in gross and net NPA ratios, while ICICI Bank increased provisions following regulatory review guidelines.