Banking stocks good picks at current levels: Analysts

MUMBAI: Banking stocks such as SBI and ICICI Bank could rally sharply if markets turnaround as the shares were available at attractive valuations, analysts said.

SBI and ICICI Bank posted good fourth quarter results which has also helped the stocks gain in recent trading sessions. The price to earnings multiple of SBI, for instance, stands at 11.65, according to ETIG database, while that of ICICI Bank is at 12.31 compared with the Sensex P/E of 16.10.

"Among banks, I think SBI is a good pick at current levels," said Deven Choksey, MD, KR Choksey Shares and Securities. The SBI share on Friday was among the leading gainers on Friday, with the stock gaining 2.4% at Rs 2012.8 a piece.