SBI Card share price target 2022, 2023, 2024, 2025, and 2030: In this article, you will learn about SBI Card share price target 2022, 2023, 2024, 2025, and 2030, along with the fundamentals and financials of the company.
For every investor, it is important to know about the company in which they are investing, to get the confidence to hold the stock for the long term. To make it clear for you, in this article we have mentioned SBI Card share price target 2022, 2023, 2024, 2025, and 2030, along with the fundamentals of the company.
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SBI Card: Company Profile
SBI Card was launched in October 1998 by the State Bank of India and GE Capital. Incorporated as SBI Cards and Payment Services Private Limited (SBICPSL), SBI Card is headquartered in Gurgaon, Haryana.
In December 2017, the State Bank of India and The Carlyle Group acquired GE Capital`s stake in SBI Card. The company changed its legal name to SBI Cards and Payments Services Limited in August 2019. In March 2020, SBI Card became the first pure-play credit card company to list on the stock exchanges in India.
The aim of the SBI Card is to offer Indian consumers access to a wide range of world-class, value-added payment products and services. Our endeavor is to simplify the lives of our customers, employees, and other important stakeholders.
Our innovative products and services along with our responsible corporate citizenship practices form the framework of delivering on this promise.
Within a short span of 10 months from inception, SBI Card achieved a credit card customer base of 1 lakh. We entered the ‘1Million Card Club’ in 2002 and crossed the 2 million card base in 2005.
Today, with over 12.5 million credit cards¹ in force, we are the second-largest credit card issuer in the country.
Share Holding Pattern
Profit After Tax
SBI Card Share Price Target 2022
SBI Card as a leading credit card issuer in India plays a key role in processing millions of transactions and enjoys the patronage of over 1.18 Cr customers. Over the years SBI Card has made a significant contribution to India’s continuously innovating digital payment ecosystem. SBI Card has successfully evolved to fulfill fast-changing consumer preferences for contactless & digital modes of transactions, further accelerated by the pandemic. This significant shift towards digital and contactless payments is being further fueled by a plethora of digital & technology initiatives, making life simple for customers.
With its wide range of proprietary and co-branded credit cards & multiple installment-based payment options, SBI Card is enabling customers to fulfill their wishes, every day. Digitization and customer-centricity will continue to be SBI Card’s guiding lights for the future.
SBI Card, a subsidiary of the State Bank of India, is the second-largest credit card issuer in the country. With more than 1.18 Cr cardholders, SBI card offers financial access with our wide range of value-added payment products and services that fulfill transactional and short-term credit requirements. SBI card focus is on delivering a diverse portfolio of credit cards that enables it to support cashless and contactless digital payments in India while ensuring complete safety and transparency of transactions.
SBI card market share of cards in force increased from 18.3% to 19.1% in FY21 and continues to be the second-largest credit card issuer in India, both in terms of the number of credit cards in use and in terms of credit card spending. SBI card has also witnessed significant growth in our market share of the New to Credit, New to Credit Card segment and sourced a higher percentage of customers from tier 3+ cities during the year. By considering all these factors SBI card share price target for 2022 is Rs 870.
|SBI Card share price target for 2022|
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SBI Card share Price Target 2023
SBI card derives its strength from a diverse portfolio. Over the years, SBI card has built customized offerings based on strong market research and strategic market penetration to offer a superior value proposition to our esteemed customers. SBI card services appeal to both individual cardholders and corporate clients and cover a wide range of cardholder requirements, from lifestyle to banking partnership needs. Also, leveraging our inherent expertise in co-brand relationships, SBI card provides a wide portfolio of co-brand credit cards in collaboration with renowned industry players, including Air India, Apollo Hospitals, BPCL, DMRC, IRCTC, Landmark Group, OLA Money, Club Vistara, and Yatra.
SBI card earnings before credit costs for FY21 stood at H 4,024 Cr at Y-O-Y 10% and PAT at H 985 Cr. SBI card return on average assets (ROAA) stands at 3.8% and return on average equity (ROAE) at 16.6%. SBI card liquidity position and credit ratings also remained exceptional, with CRISIL and ICRA ratings of A1+ and AAA for both short-term and long-term borrowings, which is a clear reflection of our strong financial foundation, and robust business model. This will have a positive impact on the SBI card share price target 2023.
SBI card witnessed impressive growth in the total spending market share as it rose from 17.9% in FY20 to 19.4% in FY21. While the corporate travel segment was severely affected due to the pandemic, ABI card online spending improved and average retail spending improved across most categories in which it operates. SBI Card share price target for 2023 is Rs 960.
|SBI Card share price target 2023|
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SBI Card Share Price Target 2024
India is a highly underpenetrated market, with the average card ownership per 100 people being 4, compared to 105 in Brazil, 26 in Russia, 53 in China, 79 in Australia, 92 in the UK, and 331 in the USA (Source: BIS Data). This represents a huge potential to increase credit card penetration in India. There have been certain tailwinds for the industry that should help it to grow at a robust pace.
• Acceptance infrastructure inclusive of POS and BQR terminals has seen over 2.5X growth in last 3 years and initiatives like acceptance development fund is further expected to aid this growth.
• QR code-based acceptance gaining ground; growing faster than POS terminals.
- Consumer Behaviour
• Increased digitization in payments; retail digital payments up to 86% in FY21 vs. 45% in FY15.
• Credit acceptance growing; Retail credit grew at 14% CAGR for 3-year period, as on Mar’21.
• E-commerce market estimated to reach $200Bn+ by 2026 from $64Bn in 2020.
By considering all the opportunities for SBI card to grow its business in the future, SBI card share price target for 2024 is Rs 1,110.
|SBI Card share price target 2024|
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SBI Card Share Price Target 2025
Payment Industry has continued its high growth trajectory with interests not only from established financial players but, also from a host of fintech players entering the market with UPI based payment solutions and/or digital lending products. Credit card as a product has also gained acceptance. As per the RBI Industry reports, the number of credit cards in circulation in India stands at 62.0 MM as of Mar 2021 growing by 7% YOY.
Spendings on credit cards for FY21 were impacted by Covid-19 and stand at H 6,309 Bn, which is at 86% of the previous year’s industry spending. The number of POS terminals stands at 4.7 MM as of March 2021, growing by 8% YOY. The number of BharatQR (BQR) terminals stands at 3.6 MM, as of March 2021, growing by 76% YOY.
Significant growth of POS and BQR terminals indicates a strong positive momentum for the industry. The company is the 2nd largest credit card issuer in India in terms of both spending and cards in force. The company has been growing above industry average consistently in both the spending and cards category. The company has a total card base of 11.8 MM as of Mar 2021 which is 12% higher than the previous year.
The company’s spend of H 122,416 Cr, stands at 94% of the previous year’s spending. This is significant, considering overall Industry spends at 86% of previous year spends. The company is ranked 2nd in terms of both cards-in-force and spending on cards. It has grown to 19.1% market share (18.3% the previous year) in terms of cards-in-force and 19.4% (17.9% the previous year) in terms of spending in FY21. By considering all the factors, SBI card share price target for 2025 is Rs 1,290.
|SBI card share price target for 2025|
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SBI Card Share Price Target 2030
SBI Card has been amongst the industry’s front runners in technology adoption. The company was one of the earliest issuers in the industry to launch contactless cards and has moved all-new card issuance to contactless cards. The existing Scan to Pay and SBI Card Pay payment solutions on SBI Card Mobile App are now also available for MasterCard cardholders.
Both these proprietary solutions not only provide ease of transaction and greater payment experience but also enhanced security. Additionally, SBI Card has also integrated with Google Pay for Visa Cardholders and Jio Pay for Visa & MasterCard cardholders. With these launches, SBI Card’s digital payment suite now includes – Samsung Pay, SBI Card Pay, Google Pay, Jio Pay, and Scan & Pay. With the advent of upcoming wallet technologies, SBI Card is geared toward integrating it to provide its cardholders easy access to new & updated means of payment.
SBI Card has introduced an around-the-clock self-service facility, accessible through websites, mobile apps, chatbots, messaging platforms such as WhatsApp, among others. SBI card chatbot christened AskILA, is capable of conducting transactions and has improved the resolution of customer queries as compared to the fiscal before. SBI card has also launched Video KYC to ensure zero contact, hassle-free customer onboarding.
SBI Card used data analytics to identify new opportunities for customer engagement through temporal analysis of spend categories and relevant marketing efforts. Leveraging data analytics, we identified newer opportunities for customer engagement and rolled out timely and relevant offers to grow spending in various categories
SBI Card invested in its core technology systems to build scalable peripheral applications for online customer acquisition, servicing, customer relationship management, fraud management, and credit risk applications. SBI Card modern and scalable technology platform today is powered by the best of Artificial Intelligence (AI), Machine Learning (ML), Robotic Process Automation (RPA), and a host of other digital tools.
SBI Card Private Cloud is a private cloud service facilitating secure remote operations across verticals. Essential customer services such as chargeback and dispute management, reporting theft/loss of card, and management of transaction frauds are remotely handled with the help of SBI Card Private Cloud-based dialler. In addition to the cloud-based dialler, SBI Card remote working infrastructure consists of a VPN setup configured for high-capacity usage with virtual collaboration platforms such as Office 365, Skype, and MS Teams. By considering all these factors, SBI card share price target for 2030 is Rs 3,600.
|SBI Card share price target 2030|
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SBI Card Share Price Target 2022, 2023, 2024, 2025, and 2030
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Frequently Asked Questions
SBI Card share price target?
SBI card share price target for 2022 is Rs 870, SBI card share price target for 2023 is Rs 960, SBI card share price target for 2024 is Rs 1,110, SBI card share price target for 2025 is Rs 1,290, and SBI card share price target for 2030 is Rs 3,600.
SBI Card share price target 2022?
SBI card share price target for 2022 is Rs 870.
SBI Card share price target 2023?
SBI card share price target for 2023 is Rs 960.
SBI Card share price target 2024?
SBI Card share price target for 2024 is Rs 1,110
SBI Card share price taret 2025
SBI card share price target for 2025 is Rs 1,290