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SBI stock opened at Rs 807, higher than the previous close of Rs 804.55, and climbed to a high of Rs 822.85 in morning deals. The rise came after SBI posted a standalone net profit of Rs 19,160 crore for the June quarter (Q1FY26), up from Rs 17,035 crore in the same quarter last year. The figure was well above market expectations of Rs 17,095 crore. Interest income grew 6% to Rs 1,17,996 crore from Rs 1,11,526 crore a year ago. Brokerage houses responded positively to the results. Motilal Oswal Financial Services (MOFSL) said the profit beat its estimates by 13%, supported by strong treasury gains and controlled operating costs. It noted that net interest income (NII) fell 4% sequentially, while the net interest margin (NIM) slipped by 10 basis points quarter-on-quarter and 32 basis points year-on-year to 2.9%. However, the bank expects domestic NIMs to stay above 3% in FY26 and recover from the third quarter of the year. MOFSL said that SBI reported steady performance despite seasonal slippages in Q1, with credit growth at 12% year-on-year. The unsecured Xpress Credit book remained flat, but a strong credit pipeline is expected to support growth in the coming quarters. The domestic credit-deposit ratio remains comfortable, supporting incremental lending. It has raised its earnings estimates by 3% for FY26 and 3.5% for FY27, reiterating a buy call with a target price of Rs 925. Other brokerages echoed similar optimism. Nuvama maintained a buy rating with a target price of Rs 950, while JM Financial also kept its buy call with the same target price. Analysts cited expectations of improved liquidity, moderation in deposit costs, and benefits from the bank's recent capital raising as key positives for the outlook.