SBI Card - Stock Investment Idea Weekly Pick
SBICARD has bounced from the ₹780–₹800 support zone and confirmed a double bottom breakout above the 100 DEMA with strong volume backing. Sustaining above the POC line with higher bottoms, RSI holding above 50, and a bullish MACD crossover point to continued strength. Accumulate ₹860–₹890 for ₹1000–₹1100. Stop loss: ₹760.
Expert recommendation by Mr. Ketan Kaushik - Derivative Analyst (NISM - 202200162803)
- Current Price: ₹874
- Buying Price: ₹860 - ₹890
- Target Price: ₹1000 - ₹1100
- Stop loss: ₹760
- Upside: 26%
- Time Frame: 6-8 Weeks
Stock Technical Analysis
- Stock made 52-Week high at 1027 in Jun25; after making highs, stock had witnessed sharp correction. Stock has taken support in 780-800 zone
- Stock has given a breakout from the double bottom chart pattern and closed above 100 DEMA
- Stock has closed above POC (Point of control) line with higher bottom formation on daily chart which indicating buying interest with volume support
- Momentum indicator RSI has hovering above 50 level and MACD has also given bullish crossover and comfortably trading above 0 level on the daily chart which indicates upside momentum is likely to continue in the coming days
Traders can look to accumulate SBICARD in the 860-890 zone and expect upside targets of 1000-1100 in 6-8 weeks with stop loss below 760 (closing basis).
Know more about SBI Cards & Payment Services Ltd. – The Pure-Play Credit Card Issuer with Scale & Credit Cycle Risks
Website: www.sbicard.com
Ticker: NSE: SBICARD
Business Model & Positioning
- SBI Card is a non-banking financial company (NBFC) focused purely on credit cards and related payment services in India.
- Launched in 1998 as a joint venture with State Bank of India (SBI) & GE Capital. Over time, SBI became the majority stakeholder.
- It offers a wide variety of cards: lifestyle, premium, travel & shopping, co-branded cards, corporate cards.
SBI Card - It is one of India’s largest credit-card issuers by cards-in-force and spend volumes.
SBI Card is a leading pure-play credit card company in India with strong scale, a trusted brand, and significant potential given rising credit penetration. However, its performance is currently under pressure from rising credit costs, NPAs, and macro headwinds (interest rates, regulation). For long-term investors, it offers growth potential, but with notable risk—particularly if there is an economic slowdown or credit stress. If the company can manage asset quality well and keep margins stable, it has room to deliver good returns.
Disclaimer - Investments in securities market are subject to market risk, read all the related document carefully before investing.
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