Strong Q3 performance propels public sector lender ahead of tech giant TCS
In a landmark shift on Dalal Street, the State Bank of India (SBI) has overtaken Tata Consultancy Services (TCS) to claim the position of the fourth-largest listed company in India by market capitalisation, driven by robust quarterly earnings and renewed investor confidence in the banking sector.
The country’s largest public sector bank saw its market capitalisation climb to around ₹10.9 lakh crore, surpassing TCS’s ₹10.5 lakh crore mark as of Wednesday’s close. This milestone underscores SBI’s resurgence in investor sentiment following its strongest-ever quarterly results.
Q3 Earnings Lift SBI Ahead of TCS
SBI’s October-December quarter (Q3 FY26) performance proved decisive. The lender reported a net profit of over ₹21,000 crore, reflecting a significant year-on-year rise and exceeding Street expectations. Healthy net interest income growth and improved asset quality further strengthened its fundamentals, attracting bullish brokerage outlooks.
The bank’s shares responded with notable strength, hitting record highs and rallying sharply in recent trading sessions. In contrast, TCS’s stock has encountered downward pressure amid broader softening sentiment in the technology sector, adding to SBI’s relative gains in the market-cap rankings.
Market Cap Rankings: Reliance, HDFC, Airtel Lead
Despite this reshuffle, the top three most valuable Indian companies remain unchanged:
Reliance Industries Ltd continues to lead with nearly ₹19.9 lakh crore in market value,
HDFC Bank holds the second spot, and
Bharti Airtel secures third place.
SBI’s elevation to fourth reinforces the growing prominence of financial institutions among India’s corporate elite.
What the Move Signals
Analysts say SBI’s ascent highlights improved performance and stronger investor interest in traditional banking stocks, even as technology shares face cyclical challenges. This milestone also reflects the broader resilience of India’s financial markets and evolving sectoral leadership in terms of valuation.
