SBIN.NS

Potentially Undervalued

State Bank of India — PEG Ratio Analysis

0.58

PEG Ratio

PEG ratio is generally unreliable for Financial Services companies — earnings are driven by interest margins and provisions

PEG ratio is generally unreliable for Financial Services companies

0.58

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$964.40

TTM EPS

$91.03

P/E Ratio

10.59

Growth Rate

18.1%

5-Year EPS CAGR

Sector

Financial Services

Banks - Regional

Calculated

6/17/2026

9:11:37 AM

Peer Comparison

Sample Size

4 peers

Industry Median PEG

1.55

25th Percentile

0.74

75th Percentile

5.25

SBIN.NS PEG (0.58) vs Industry Median (1.55): 62% discount

Symbol	Company	PEG	P/E	Growth	vs SBIN.NS
AXISBANK.NS	Axis Bank Limited	0.53	15.2	28.6%	-9%
ICICIBANK.NS	ICICI Bank Limited	0.74	16.8	22.7%	+26%
RELIANCE.NS	Reliance Industries Limited	2.37	22.1	9.3%	+305%
HDFCBANK.NS	HDFC Bank Limited	5.25	15.1	2.9%	+798%

How to Interpret PEG Ratio

PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.

PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."

PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.

Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.