Top Financial Stocks: Brokerages Reveal Q1 FY27 Picks
By Market Desk
Discover top financial stock picks from leading Indian brokerages like ICICI Bank and RBL Bank, following strong Q1 FY27 earnings reports. See which stocks analysts favor.
The financial sector, a dominant performer in fiscal year 2026, continued its strong trajectory into the first quarter of fiscal year 2027. This segment led earnings growth across the market, alongside Metals, Oil & Gas (excluding OMCs), and Automobiles.
In response to these Q1 FY27 performances, top Indian brokerages, including Nuvama Securities, Motilal Oswal Financial Services (MOFSL), and ICICI Securities, have outlined their preferred financial stock picks.
Top Financial Picks and Q1 FY27 Performance
- ICICI Bank is a top choice for Motilal Oswal and Nuvama Securities, reporting a 16% year-on-year rise in standalone net profit to Rs 14,804 crore, with net interest income (NII) up 13% to Rs 24,385 crore for the June quarter.
- RBL Bank secured a close second position among brokerages, with Nuvama and MOFSL maintaining a bullish outlook. Its net profit for Q1 FY27 surged 26.6% year-on-year to Rs 254 crore, NII growing 12% to Rs 1,654 crore, and operating profit jumping 31.3% to Rs 923 crore.
- Kotak Mahindra Bank is a compelling option for ICICI Securities and Nuvama, driven by strong Q1 performance and attractive valuations. The bank’s net profit rose 26% year-on-year to Rs 4,123 crore, supported by a 9.2% increase in NII to Rs 7,928 crore.
- State Bank of India (SBI) received positive endorsements from Motilal Oswal and ICICI Securities following its better-than-expected June quarter results. India’s largest lender posted a 10.2% year-on-year increase in standalone net profit to Rs 21,121 crore, a 14.9% rise in NII to Rs 46,992 crore, and a 9.8% increase in operating profit to Rs 33,529 crore.
- Shriram Finance is another top pick for Nuvama Securities, reporting a 59.8% year-on-year increase in standalone net profit to Rs 3,445 crore and a 33.7% jump in NII to Rs 8,056 crore for the June quarter, alongside improved asset quality.
The consistent outperformance of the financial sector and strong quarterly results from these key players underscore their continued appeal to leading market analysts.