ScoreWhy is HDFC Bank Ltd. ?
1
Strong Long Term Fundamental Strength with an average Return on Assets (ROA) of 1.76%
- Healthy long term growth as Net Interest Income (ex other income) has grown by an annual rate of 16.90% and Net profit at 19.60%
- The Bank has a high Capital Adequacy Ratio of 17.29% signifying high buffers against its risk based assets
2
Flat results in Dec 25
- CASH AND CASH EQUIVALENTS(HY) Lowest at Rs 127,574.84 cr
- NON-OPERATING INCOME(Q) is 54.63 % of Profit Before Tax (PBT)
3
With ROA of 1.8, it has a Attractive valuation with a 2.4 Price to Book Value
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -8.28%, its profits have risen by 10.3% ; the PEG ratio of the company is 1.9
4
High Institutional Holdings at 84.87%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Below par performance in long term as well as near term
- Along with generating -8.28% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to HDFC Bank should be less than 10%
- Overall Portfolio exposure to Private Sector Bank should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Private Sector Bank)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is HDFC Bank for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
HDFC Bank
-8.28%
-0.53
15.66%
Sensex
-1.65%
-0.13
12.27%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Net Interest Income Growth (5y)
16.90%
Net Profit Growth (5y)
19.60%
Advance to Deposit
96.30%
Capital Adequacy Ratio (Tier 1)
17.29%
Gross NPA (latest)
1.24%
Gross NPA (avg)
1.28%
Coverage Ratio (avg)
70.61%
Cost to Income (avg)
39.05%
Net Interest Margin (avg)
3.95%
Operating Profit to Assets (avg)
5.30%
ROA (avg)
1.76%
Net Debt to Equity (avg)
0
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
17
Price to Book Value
2.41
PEG Ratio
1.85
Dividend Yield
1.60%
ROE (Latest)
13.58%
ROA (Latest)
1.79%
Net NPA to Book Value
2.23
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bearish
Mildly Bearish
RSI
Bullish
No Signal
Bollinger Bands
Mildly Bearish
Bearish
Moving Averages
Bearish (Daily)
KST
Bearish
Mildly Bearish
Dow Theory
No Trend
Mildly Bearish
OBV
No Trend
Mildly Bearish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend8What is working for the Company
PAT(Q)
Highest at Rs 18,653.75 cr.
GROSS NPA(Q)
Lowest at 1.24%
NII(Q)
Highest at Rs 32,615.00 cr
CREDIT DEPOSIT RATIO(HY)
Highest at 98.65%
NET NPA(Q)
Lowest at 0.42%
-4What is not working for the Company
CASH AND CASH EQUIVALENTS(HY)
Lowest at Rs 127,574.84 cr
NON-OPERATING INCOME(Q)
is 54.63 % of Profit Before Tax (PBT
Loading Valuation Snapshot...
Here's what is working for HDFC Bank
Profit After Tax (PAT) - Quarterly
Highest at Rs 18,653.75 cr. and Grown
each quarter in the last five quartersMOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Gross NPA - Quarterly
Lowest at 1.24%
in the last five quartersMOJO Watch
Proportion of stressed loans given by the bank are falling
Gross NPA (%)
Net Interest Income (Quarterly)
Highest at Rs 32,615.00 cr
in the last five quartersMOJO Watch
The bank's income from core business is increasing
Net Interest Income (Rs Cr)
Net NPA - Quarterly
Lowest at 0.42%
in the last five quartersMOJO Watch
Proportion of stressed loans given by the bank are falling
Net NPA (%)
Credit Deposit Ratio - Half Yearly
Highest at 98.65%
in the last four periodsMOJO Watch
Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets
Credit Deposit Ratio (%)
Here's what is not working for HDFC Bank
Non Operating Income - Quarterly
is 54.63 % of Profit Before Tax (PBT)
MOJO Watch
The company's income from non business activities is high; which is not a sustainable business model
Non Operating Income to PBT
Cash and Cash Equivalents - Half Yearly
Lowest at Rs 127,574.84 cr
in the last six half yearly periodsMOJO Watch
Short Term liquidity is deteriorating
Cash and Cash Equivalents
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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