Stock market guru SP Tulsian of sptulsian.com on Friday said he is positive on State Bank of India (SBI), HDFC Bank and ICICI Bank.
On PSU banks, he said, "It is difficult to comment whether this will be a big one or maybe three or four banks will be picked up. If you take the situation now, there are 19 PSU banks including IDBI Bank. Of those 19, four or five banks are seen to be quite fit. Maybe SBI and Bank of Baroda will not get touched as the merger process has happened."
“The potential acquirer could be Punjab National Bank, Bank of India, Canara Bank and Union Bank. They can acquire the others," he added.
According to Tulsian, SBI is an excellent bank. "If you see their subsidiaries, SBI Life, SBI Card IPO, the reach of SBI is seen to be quite wide, maybe in tier IV and tier V cities also. So, we continue to remain positive on SBI."
Speaking about NMDC, Tulsian said, “If you take a call on the ferrous metal industry, things are seen to be quite precarious for the sector. Unless and until we see the resolution of US-China happening, till then the ferrous steel makers will not have any respite. If you do not see any respite, then raw material supplier like NMDC who is supplying iron ore will be facing problems."