Hdfc Bank (HDB)
NYSE:HDB
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Hdfc Bank
(NYSE:HDB)
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Rating:72Outperform
Price Target:
$29.00
▼(-20.83% Downside)
Action:ReiteratedDate:04/23/26
The score is driven primarily by strong financial performance (growth in revenue/earnings/cash generation) and a constructive earnings outlook supported by strong capital, asset quality, and improving efficiency. These positives are tempered by weak technical momentum (price below key moving averages with negative MACD) and some fundamental pressure points such as margin compression and moderating ROE, while valuation is reasonable with a supportive dividend yield.
Positive Factors
Franchise growth (loans & deposits)
Sustained double-digit loan (12%) and deposit (14.4%) expansion reflects durable balance-sheet scale and funding diversity. Above-system retail and SME traction supports fee cross-sell, underwriting scale and revenue resiliency, underpinning stable net interest and fee income over the medium term.
Negative Factors
NIM / margin pressure
Structural deposit repricing lags versus asset yield resets are compressing NIMs, a multi-quarter headwind. Even with cost control, persistent margin squeeze reduces core net interest income and limits operating leverage benefits until funding mix and deposit pricing normalize.
Read all positive and negative factors
Positive Factors
Negative Factors
Franchise growth (loans & deposits)
Sustained double-digit loan (12%) and deposit (14.4%) expansion reflects durable balance-sheet scale and funding diversity. Above-system retail and SME traction supports fee cross-sell, underwriting scale and revenue resiliency, underpinning stable net interest and fee income over the medium term.
Read all positive factors
Hdfc Bank (HDB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$128.37B
Dividend Yield3.03%
Average Volume (3M)11.29M
Price to Earnings (P/E)5.0
Beta (1Y)0.49
Revenue Growth0.81%
EPS Growth1.99%
CountryUS
Employees214,521
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)0.40
Shares Outstanding5,131,122,600
10 Day Avg. Volume8,145,374
30 Day Avg. Volume11,291,591
Financial Highlights & Ratios
PEG Ratio0.02
Price to Book (P/B)0.69
Price to Sales (P/S)0.76
P/FCF Ratio2.30
Enterprise Value/Market Cap114.96
Enterprise Value/Revenue2.95
Enterprise Value/Gross Profit5.16
Enterprise Value/Ebitda14.30
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)1.76
Revenue Forecast (FY)$22.53B
Hdfc Bank Business Overview & Revenue Model
Company Description
HDFC Bank Limited provides various banking and financial services to individuals and businesses in India, Bahrain, Hong Kong, and Dubai. It operates in Treasury, Retail Banking, Wholesale Banking, Other Banking Business, and Unallocated segments. ...
How the Company Makes Money
HDFC Bank primarily earns revenue through net interest income and fee-based income. Net interest income is generated from the spread between interest earned on loans and other interest-earning assets (such as advances to customers and investments)...
Hdfc Bank Earnings Call Summary
Earnings Call Date:Apr 18, 2026
(Q4-2026)
| Next Earnings Date:Jul 20, 2026
Earnings Call Sentiment Positive
The call highlights solid franchise recovery and structural strengths: double-digit loan growth (12%), strong deposit mobilization (14.4%), stable ROA (~1.9%), improved operating efficiency, healthy capital (19.7%) and significant digital/AI investments that position the bank for operating leverage. Headwinds include margin pressure from faster asset yield transmission versus deposit repricing, weaker investment yields and modest treasury/third-party fee growth, plus near-term legal and geopolitical uncertainties. Overall, the positives around growth, asset quality, capital and technology investments outweigh the transitory and cyclical challenges discussed.Positive Updates
Strong Credit and Deposit Growth
Loans grew 12% in FY26 (up from 5.5% in FY25) while deposits grew 14.4%, keeping deposit growth ahead of credit growth and above system levels.
Negative Updates
NIM Compression and Margin Pressure
Net interest margin under pressure due to faster transmission of asset yields versus deposit repricing; management highlighted NIM drop even as returns were protected via efficiency and credit cost control (no explicit FY26 NIM number given).
Read all updates
Q4-2026 Updates
Positive
Negative
Strong Credit and Deposit Growth
Loans grew 12% in FY26 (up from 5.5% in FY25) while deposits grew 14.4%, keeping deposit growth ahead of credit growth and above system levels.
Read all positive updates
Company Guidance
Management's guidance was for responsible, quality-led growth rather than aggressive volume chase: they reiterated a desire to grow at or above system levels (they had earlier penciled system credit growth at 10.5–11.5% and delivered 12% in FY26 versus system ~13.5–13.9% at Mar‑31), while prioritizing return on assets (ROA ~1.9% in FY26, with a goal to improve it via operating and AI-led efficiencies over the next 1–3 years) and consistent EPS growth (EPS +10% in FY26). Key operating/portfolio guardrails they will maintain include a strong capital buffer (CET1/total capital ~19.7%), LCR targeting ~110–120% (114% in Q4, 116% prior quarter), continued deposit franchise gains (deposit growth 14.4% in FY26, INR 3.9 lakh crore mobilised in the year and INR 2.45 lakh crore in Q4, with 47% of incremental time deposits <INR 3 crore), sustaining low asset stress (gross NPA ~1.15% with ~125 bps provisioning buffer), managing cost efficiency (core cost‑to‑income down to 39.5%), expanding customer and distribution scale (100 million customers, adding 6–8 million/year, ~9,700 branches, 60 million mobile app users), and targeting continued retail and corporate franchise traction (retail ~53–54% of book, corporate loans +13% in FY26, SME/business banking ~+20% yoy).Hdfc Bank Financial Statement Overview
Summary
Income Statement
82
Very Positive
Balance Sheet
74
Positive
Cash Flow
71
Positive
| Breakdown | Mar 2026 | Mar 2025 | Mar 2024 | Mar 2023 | Mar 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 5.21T | 4.19T | 3.52T | 1.98T | 1.60T |
| Gross Profit | 2.98T | 2.19T | 1.85T | 1.13T | 892.43B |
| EBITDA | 1.12T | 924.57B | 757.81B | 685.87B | 535.98B |
| Net Income | 799.95B | 673.51B | 622.66B | 495.45B | 386.00B |
Balance Sheet | |||||
| Total Assets | 48.11T | 48.19T | 44.12T | 25.76T | 21.11T |
| Cash, Cash Equivalents and Short-Term Investments | 3.06T | 9.20T | 9.93T | 7.24T | 4.34T |
| Total Debt | 5.77T | 7.46T | 8.15T | 3.24T | 2.34T |
| Total Liabilities | 42.14T | 39.56T | 36.23T | 22.84T | 18.60T |
| Stockholders Equity | 5.74T | 7.68T | 6.95T | 2.91T | 2.50T |
Cash Flow | |||||
| Free Cash Flow | 1.72T | 1.13T | 968.48B | 433.58B | 554.69B |
| Operating Cash Flow | 1.76T | 1.20T | 1.02T | 477.20B | 581.02B |
| Investing Cash Flow | -4.57T | -3.72T | -3.67T | -4.39T | -3.30T |
| Financing Cash Flow | 3.44T | 2.42T | 3.35T | 4.17T | 2.91T |
Hdfc Bank Technical Analysis
Neutral
36.63
Price Trends
29.04
Negative
31.83
Negative
34.13
Negative
Market Momentum
-0.43
Negative
53.38
Neutral
73.97
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HDB, the sentiment is Neutral. The current price of 36.63 is above the 20-day moving average (MA) of 25.82, above the 50-day MA of 29.04, and above the 200-day MA of 34.13, indicating a neutral trend. The MACD of -0.43 indicates Negative momentum. The RSI at 53.38 is Neutral, neither overbought nor oversold. The STOCH value of 73.97 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HDB.
Hdfc Bank Risk Analysis
Hdfc Bank disclosed 71 risk factors in its most recent earnings report. Hdfc Bank reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Hdfc Bank Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $96.67B | 9.08 | 21.64% | 9.77% | 22.96% | 6.95% | |
73 Outperform | $99.47B | 14.67 | 15.75% | 0.85% | 1.39% | 0.34% | |
72 Outperform | $128.37B | 4.96 | 13.60% | 3.03% | 0.81% | 1.99% | |
71 Outperform | $89.28B | 12.15 | 11.98% | 3.11% | 3.51% | 21.52% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
64 Neutral | $77.03B | 12.62 | 9.93% | 3.19% | -35.79% | 15.05% | |
57 Neutral | $100.81B | 10.79 | 9.73% | 2.31% | -8.02% | 22.45% |
* Financial Sector Average
HDB
Hdfc Bank
25.35
-10.62
-29.53%
IBN
Icici Bank
26.91
-6.43
-19.27%
ITUB
Itau Unibanco
8.85
3.16
55.65%
LYG
Lloyds Banking
5.33
1.53
40.26%
MFG
Mizuho Financial
8.45
3.40
67.33%
PNC
PNC Financial
220.89
65.43
42.09%
Hdfc Bank Corporate Events
HDFC Bank Launches Remote E-Voting Postal Ballot for Shareholders in April 2026
Apr 21, 2026
HDFC Bank Limited has filed a Form 6-K with the U.S. Securities and Exchange Commission for April 2026, confirming its ongoing status as a foreign private issuer reporting under Form 20-F and documenting board-authorized corporate actions. The fil...
HDFC Bank Clears FY26 Results, ₹60,000 Crore Capital Plan and Higher RSU Limits
Apr 20, 2026
On April 18, 2026, HDFC Bank’s board approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, with joint statutory auditors issuing an unmodified opinion, and the bank subsequently pub...
HDFC Bank Announces Retirement of Executive Director Bhavesh Zaveri
Apr 20, 2026
HDFC Bank Limited has announced that Executive Director Bhavesh Zaveri retired from the bank with effect from the close of business on April 18, 2026, a move formally noted by the board in its latest filing with the U.S. Securities and Exchange Co...
HDFC Bank Board Clears Up to Rs 1,000 Crore Capital Infusion into HDFC Life
Apr 17, 2026
On April 16, 2026, HDFC Bank’s board approved an investment of up to Rs. 1,000 crore in a preferential issue of equity shares by its subsidiary, HDFC Life Insurance Company Limited. The planned infusion, to be executed in one or more tranche...
HDFC Bank Revises Timing of April 18, 2026 Earnings Call on FY 2026 Results
Apr 15, 2026
HDFC Bank Limited, one of India’s largest private-sector banks, provides a wide range of retail and wholesale banking services and reports as a foreign private issuer to U.S. investors. The bank maintains an active dialogue with analysts and...
HDFC Bank Schedules April 18 Earnings Call on FY26 Results
Apr 14, 2026
HDFC Bank Limited, a major Indian private sector bank offering retail and corporate banking services and listed in the U.S. as a foreign private issuer, continues to engage a global investor base through its NYSE listing. The bank’s operatio...
HDFC Bank Discloses Unsolicited ESG Rating Assigned by Independent Rater
Apr 6, 2026
On April 3, 2026, HDFC Bank informed the New York Stock Exchange that ESG Risk Assessments Insights Limited had independently assigned the bank an ESG rating of 61 on April 2, 2026. The lender emphasized that it did not mandate or engage the firm...
HDFC Bank Flags Possible AT1, Tier II and Infrastructure Bond Issues Ahead of April 18 Board Meeting
Apr 6, 2026
On April 3, 2026, HDFC Bank Limited notified the New York Stock Exchange that its Board of Directors meeting, scheduled for April 18, 2026, may consider fresh capital-raising through various debt instruments. The board may evaluate issuing Perpetu...
HDFC Bank Posts Double-Digit Growth in Advances and Deposits for March 2026 Quarter
Apr 6, 2026
HDFC Bank reported that its average advances under management for the March 2026 quarter rose about 10% year-on-year to ₹29.64 trillion, with period-end advances under management up 10.2% to ₹30.58 trillion and gross advances up 12% to...
HDFC Bank Launches Postal Ballot E-Voting Window for Shareholders
Mar 27, 2026
HDFC Bank Limited, a major Indian private sector lender with a significant international investor base, operates across retail and corporate banking and is registered in the U.S. as a foreign private issuer under Form 20-F. The bank’s global...
HDFC Bank Reappoints Dr. Sunita Maheshwari as Independent Director for New Three-Year Term
Mar 27, 2026
On March 26, 2026, HDFC Bank’s board approved the re-appointment of Dr. (Mrs.) Sunita Maheshwari as an independent director for a further three-year term from March 30, 2026 to March 29, 2029, subject to shareholder approval. The move unders...
HDFC Bank Sets April 18 Board Meet to Approve FY26 Results and Consider Dividend
Mar 25, 2026
HDFC Bank has announced that its Board of Directors will meet on April 18, 2026, to review and approve the audited standalone and consolidated financial results for the quarter and full year ended March 31, 2026. The board will also consider recom...
HDFC Bank Moves to Reassure Investors After Chairman Resigns, Files March 19 Investor Call Transcript
Mar 19, 2026
On March 19, 2026, HDFC Bank filed a Form 6-K with the U.S. Securities and Exchange Commission, furnishing the transcript of an investor and analyst call held the same day to discuss developments following the March 18, 2026 intimation about board...
RBI Affirms Stability of HDFC Bank, Clears Transition Plan for Part-Time Chairman
Mar 19, 2026
On March 19, 2026, HDFC Bank disclosed that the Reserve Bank of India had issued a statement regarding recent developments at the bank and approved a transition arrangement for the position of part-time chairman. The RBI emphasized that HDFC Bank ...
HDFC Bank Clarifies Timing and Reasons Behind Chairman Atanu Chakraborty’s Resignation
Mar 19, 2026
HDFC Bank Limited, a major Indian private-sector lender with shares listed on the NYSE, operates across retail and corporate banking and has grown significantly following its merger with HDFC Ltd, which positioned it as the country’s second-...
HDFC Bank Chairman Atanu Chakraborty Resigns; Keki Mistry Named Interim Part-Time Chair
Mar 18, 2026
On March 18, 2026, HDFC Bank announced that part-time chairman and independent director Atanu Chakraborty resigned from the board with immediate effect, citing certain internal practices observed over the last two years that he felt were not align...
HDFC Bank Retains Top India Ratings on Key Debt and Capital Instruments
Mar 18, 2026
On March 18, 2026, HDFC Bank reported that India Ratings and Research had on March 17, 2026 assigned and affirmed credit ratings across several of the bank’s instruments, maintaining an IND AAA/Stable issuer rating and top-tier grades on its...
HDFC Bank Shareholders Clear Key Related-Party Deals With HDB Financial and HDFC Securities
Mar 17, 2026
On March 13, 2026, HDFC Bank’s shareholders approved, via postal ballot and e-voting, two ordinary resolutions to ratify material related-party transactions with group entities HDB Financial Services Limited and HDFC Securities Limited. The ...
HDFC Bank Launches Postal Ballot, Opens Remote E-Voting for Shareholders
Feb 12, 2026
On February 11, 2026, HDFC Bank filed a Form 6-K with the U.S. Securities and Exchange Commission, formally notifying investors of a postal ballot process for its shareholders. The bank has circulated a Postal Ballot Notice dated February 3, 2026 ...
RBI Clears ICICI Group to Raise Stake in HDFC Bank Up to 9.95%
Feb 12, 2026
On February 11, 2026, HDFC Bank disclosed that the Reserve Bank of India has approved ICICI Prudential Asset Management Company, together with ICICI group entities, to raise their aggregate holding in HDFC Bank up to 9.95% of its paid-up share cap...
HDFC Bank Reappoints Kaizad Bharucha as Deputy Managing Director
Feb 4, 2026
At its February 3, 2026 board meeting, HDFC Bank approved the reappointment of veteran executive Kaizad Bharucha as deputy managing director for a three-year term beginning April 19, 2026, highlighting his broad operational oversight across assets...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.