Which bank is the greatest long-term stock to purchase for investors among SBI, HDFC Bank, and ICICI Bank?

In recent months, the three biggest banks in India—HDFC Bank, ICICI Bank, and SBI—have performed differently, each managing changing lending cycles, deposit patterns, and market sentiment in a unique way. The best lender to purchase in the long run is determined by experts.

Long-Term Bank Stock to Purchase: State Bank of India (SBI), HDFC Bank, and ICICI Bank continue to be the cornerstones of the nation's banking sector and are the most sought-after brands among long-term investors. Investors are becoming more interested in determining which of these three titans offers the best combination of stability, growth, and value over the coming years as credit growth stabilizes, interest-rate expectations change, and asset quality trends improve.

The stock of HDFC Bank has produced consistent but modest gains over time, rising 14.76% in a year, 3.60% in six months, 1.72% in three months, and 0.44% in a month. The stock is mainly range-bound due to the performance, which shows stability rather than significant upside. On the other hand, despite its long-term success, ICICI Bank exhibits obvious short-term fragility. The bank's stock has only increased 7.07% in a year, but it has dropped 5.61% in six months, 4.73% in three months, and 0.68% in one month, indicating ongoing short-term pressure.

PSU bank stock Out of the three lenders, SBI consistently performs the best over all time periods. With significant increases of 22.78% in six months, 18.91% in three months, and 7.31% in one month, the PSU behemoth has risen 18.94% in a year. SBI outperforms both HDFC Bank and ICICI Bank in medium- and short-term momentum because to its consistently superior returns throughout all durations.

Though each bank has a unique edge based on investment objectives, market professionals are generally bullish about all three lenders. This is how the technical and fundamental picture compares.

Essential Perspective: Robust and Consistent All Around

Although it believes that HDFC Bank has the greatest potential for growth, global brokerage Jefferies has kept a buy recommendation on all three banks.

HDFC Bank: A 20% increase is indicated by Jefferies' target price of ₹1,200. With the help of merger synergies, a robust retail franchise, and a sticky deposit base, Jefferies anticipates that the bank's loan growth will remain consistent with system norms.

ICICI Bank: The international brokerage has set the target price at ₹1,760, suggesting a gain of over 29%. "ICICI Bank continues to deliver best-in-class profitability among large private peers," according to Jefferies, who cited the bank's balanced retail/SME growth and risk-adjusted returns.

SBI: The brokerage has set a target price of ₹970 for SBI shares, indicating a flat upside. According to Jefferies, SBI's deep deposit franchise, capital adequacy, and rising return ratios "make it a steady compounder."

All three names have good and steady earnings visibility, according to Jefferies.

All three of the major banks are still preferred by Motilal Oswal Financial Services (MOSL). The brokerage highlights that these lenders have strong capital buffers, robust balance sheets, and good asset quality—qualities that are essential during a time of macro unpredictability.

"We continue to prefer ICICI Bank, HDFC Bank, and SBI in light of these sectoral headwinds," MOSL said in its most recent research. Strong balance sheets, a healthy PCR, and comparatively higher growth prospects make these banks stand out and are anticipated to help reduce downside risks to earnings.

However, Om Ghawalkar, a market analyst at Share.Market, stated that an investor's priorities—growth, stability, or valuation—determine the ultimate decision.

Growth-oriented investors looking for steady asset quality and steady retail credit expansion are best served by ICICI Bank.

A bullish cup-and-handle pattern is building, indicating a possible breakout following consolidation, and HDFC Bank is still a premium franchise with a strong online presence.

With more than 15% growth since September 2025 and remarkable relative strength despite its PSU status, SBI offers the best value and the strongest market momentum.

Technical Perspective: SBI Leads
Technical analysts believe that SBI is the best option for long-term accumulation.

Amruta Shinde, a research analyst at Choice Broking, emphasized the strong chart structure of SBI, pointing out that the stock consistently exhibits a higher-high, higher-low pattern. "Based on the current technical setup, SBI remains the strongest contender among the three for long-term investors," she stated.

According to Shinde, SBI is trading comfortably above important EMAs, and an upside breakout over ₹980 might go to ₹1,030. Additionally, she stated that although HDFC Bank is exhibiting positive signs of recovery, it is still range-bound between ₹975 and ₹1,020, necessitating a strong move above ₹1,020 to validate strength. ICICI Bank, on the other hand, is trading below short and medium-term EMAs and exhibiting lower momentum; in order to retake leadership, it must break above resistance levels.