BSE Code: | NSE Code: | ISIN: | Sector:
Research Report Detail
|Report Date||Call||Price@Call||Target Price
|Current Status||Time Horizon|
|Open|| Long (1Y)
Nomura Maintains Buy On HDFC Bank
The bank reported 18 per cent net income growth on the back of 15 per cent loan growth. Revenue lines were a little soft but were offset by cost control (costs grew 8.6 per cent YoY). Asset quality was in line with collections back to near pre-COVID days. In contrast, HDB Financial reported a third-quarter loss under I-GAAP (had posted a loss in H1 under IndAS) even as gross NPL deteriorated further to 5.9 per cent versus 5.1 per cent in second quarter. We believe HDBF may still take 2-3 quarters to recover, assuming no further shock. Overall, we remain positive on HDFC Bank, for its steady growth and profitability.