HDFC Bank Ltd. is an Indian banking and financial services company headquartered in Mumbai. It is India’s largest private sector bank by assets and the world’s fourth-largest bank by market capitalization as of September 22, 2023, following its takeover of parent company HDFC. The bank was founded in August 1994 and offers a wide range of services, including retail and wholesale banking, loans, credit cards, insurance, and asset management. Atanu Chakraborty is the Chairman, and Sashidhar Jagdishan is the CEO. HDFC Bank has approximately 177,000 employees and is known for its customer service and technological innovation.
Investors wants to know is HDFC bank a good investment in 2023? Is HDFC Bank share price expected to rise? What is HDFC bank share price prediction for 2023 to 2030. We have answered all your questions in this post.
Stock Price History of HDFC Bank
HDFC Bank has had a strong stock performance over the years, with the stock price rising steadily since its listing in 1995. The stock has been on an upward trajectory since 2017, and has reached a peak of Rs. 1687 in October 2021. The stock has been well-received by investors, and has been among the top gainers in the Nifty 50 index. HDFC Bank has also been part of several indices such as the Nifty 50, S&P BSE 200, and the Nifty Bank. HDFC bank, on 22nd of September, 2023, is trading at a price of 1530 INR.
HDFC Bank ltd in recent news
Sashidhar Jagdishan, CEO of HDFC Bank has raised concerns over post merger funding risk, says net interest margins is expected to take a hit in the next quarter result.
- Chairman Atanu Chakraborty anticipates robust expansion across various sectors for HDFC Bank over the next 5-6 years.
- Morgan Stanley has resumed its overweight stance on HDFC Bank, considering it a compounder with appealing valuations.
- Following its merger with HDFC, HDFC Bank Limited has entered the prestigious $100-billion market-cap club, surpassing renowned institutions such as Morgan Stanley and Bank of China, and is now the 7th largest lender in the world.
- HDFC Bank has reported a significant increase in its net profit for the first quarter, with a jump of 29% to reach Rs 12,370 crore.
- According to Motilal Oswal, it is recommended to buy HDFC Bank’s shares with a target price of Rs 2070. (31st July, 2023)
HDFC Bank Latest Earnings Summary: Q1 FY2024
- Net profit for Q1 FY24 increased by 30% to Rs 11,951 crore compared to Rs 9,196 crore in Q1 FY23, exceeding market expectations.
- Net interest income (NII) grew by 21.1% to Rs 23,599 crore from Rs 19,481 crore in the same period last year.
- Gross non-performing assets (GNPA) ratio improved to 1.17% from 1.28% in Q1 FY23, while net NPA (NNPA) decreased to 0.30% from 0.35% in the previous year.
- Total deposits increased by 19.2% to Rs 19.13 lakh crore, with current account and savings account (CASA) growing by 10.7%.
- Total advances grew by 15.8% to Rs 16.15 lakh crore, with domestic retail loans increasing by 20% and commercial and rural banking loans growing by 29.1%.
HDFC Bank Ltd. is available for purchase on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE) of India. In order to buy stock in HDFC Bank Ltd., you will need to open a trading account with a broker or financial institution.
You will need to deposit funds into the account and then place an order for the shares you wish to buy. Once the order is filled, you will have purchased the stock and it will be credited to your trading account.
Some of the online trading platforms to buy HDFC Bank Limited stocks are Zerodha, Upstox, 5Paisa, Angel Broking, etc.
I, however recommend PayTM Money for buying HDFC shares in India.
HDFC bank is one of the strongest and most financially stable banks of India.
HDFC Bank’s share price is expected to have a positive growth percentage in 2023. It is considered the best private sector Indian bank and is known for being a profitable bank, making it one of the best banking stocks to hold. Analysts predict that the minimum price target for HDFC Bank in 2023 will be around ₹1,473.77 by September 2023, while the maximum price target could reach ₹1,903.52 by December, 2023.
Some brokerage firm Sharekhan and Jefferies have given a buy recommendation on HDFC bank, says share price could reach Rs.2100.
Although the share price may experience fluctuations throughout the year, it is expected to stay above ₹1,600 for the majority of 2023. With a strong reputation and consistent financial performance, HDFC Bank is expected to continue its upward trajectory, making it a promising investment option for the future.
Investors should keep in mind that this target is just an estimate and the real share price may differ.
Post the HDFC bank with HDFC merger, I am more bullish on HDFC bank.
As of September 22nd, 2023, HDFC bank is trading at Rs. 1,530 with a PE ratio of 17.5 and a marketcap of ₹ 11,58,332 Crore (post merger).
The price dipped drastically in September, after Nomura downgraded HDFC bank, and set a price of Rs. 1,800 from its previous target of Rs. 1970
|When||Maximum Price||Minimum Price|
HDFC Bank’s share price is expected to continue its upward trajectory in 2024.
The maximum price target for HDFC Bank in 2024 is expected to be around ₹3,128.72 in December, and the minimum price target is expected to be ₹1,621.33 in May. Throughout the year, the share price may experience fluctuations, but it is expected to stay above ₹2,000 for the majority of 2024.
With a positive growth percentage and a strong reputation in the banking industry, HDFC Bank remains a promising investment option for the future. Analysts predict that the share price will reach its maximum price in December, making it a potential high-growth investment opportunity.
HDFC Bank’s strong financial performance and reputation make it a popular choice for investors looking to invest in the Indian banking sector.
|When||Maximum Price||Minimum Price|
The share price of HDFC Bank could reach the mark of ₹3,795.18 by the end of 2025 which is an optimistic target to reach but looking at the future road of it, this is looking easy to achieve.
|Year||Maximum Price||Minimum Price|
The stock prices after reaching the height of ₹ 3795, will fall down to the mark of ₹ 1580 in the next two years i.e. by 2027. Further, it will witness a bull run for the next two years and would jump to ₹ 8349 by 2029.
The company’s stock prices will again rise slowly in 2030 and will reach to ₹ 9,298.20 by the end of 2030.
HDFC Bank Financial Condition: Last 5 years
As of September 22nd, 2023, HDFC bank financials look healthy.
- HDFC Bank has demonstrated consistent revenue growth over the years, with a significant increase from 105,161 Crores in 2019 to 170,754 Crores in 2023.
- The bank’s interest income has also shown a steady rise, reaching 77,780 Crores in 2023, indicating a robust lending portfolio.
- Despite the growth in revenue and interest income, HDFC Bank has managed to control its expenses, maintaining a relatively stable range of 34,856 Crores to 65,388 Crores during the period.
- The bank’s profitability, as reflected by its net profit, has consistently improved, rising from 22,446 Crores in 2019 to 46,149 Crores in 2023.
- HDFC Bank has maintained a consistent dividend payout percentage, with 23% being distributed to shareholders in both 2022 and 2023, indicating a commitment to rewarding investors.
Nomura downgraded HDFC bank and slashed its target price to Rs.1800 from Rs. 1970. (20th September, 2023)
Sharekhan recommends buying HDFC banks, gives a price target of Rs.2100
Motilal Oswal have increased their share price target for HDFC bank. According to them, real price target of HDFC bank should be Rs.1950.
HDFC Bank Stock Price Target by Geojit
Motilal Oswal has maintained a buy call on HDFC bank shares. Geojit has given a price target of Rs.1890 per HDFC bank share.
HDFC Bank Stock Price Target by Emkay Global
Emkay Global has also maintained a buy call on HDFC bank shares. According to EG, one could keep buying HDFC bank shares with a price target of Rs.1800.
Rahul Sharma from JM Financial Services recommends purchasing HDFC Bank with a target price range of Rs 1725 to Rs.2000 in the next 3 to 6 months.
Summary table of HDFC Bank’s share price targets by different analysts:
|Analyst||HDFC Bank Price
Target (in INR)
|Motilal Oswal||Rs. 2070|
|Prabhudas Lilladher||Rs. 1925|
|Emkay Global||Rs. 1800|
|JM Financials||Rs. 1725 – Rs. 2000|
HDFC Short Term Price Impact
Why I think HDFC bank share price may be under pressure in short term?
HDFC Bank’s CEO, Sashidhar Jagdishan, has identified funding as the most significant risk following the merger with HDFC, suggesting potential liquidity or solvency concerns that could deter investors. This sentiment might lead to a short-term downward pressure on HDFC’s share price. Furthermore, Jagdishan pointed out an expected drop in the bank’s net interest margins (NIM) from the September quarter onwards, due to HDFC’s mortgage book carrying a lower spread. A declining NIM, being a vital profitability indicator for banks, might raise concerns about the bank’s future earnings, further impacting investor sentiment. Additionally, the inherent challenges in integrating two large entities like HDFC Bank and HDFC, from systems to operations, can create uncertainties, making investors cautious and potentially influencing the share price.
Will HDFC Bank stock price grow in 2023?
HDFC Bank Ltd, after merger shows real sign of growth in 2023. Most of the brokerage firms are positive about HDFC bank share price target. Analysts have projected that the stock price could reach Rs. 2100 by 2023. Investors should keep in mind that this target is just an estimate and the real share price may differ.
What is the Market Cap of HDFC Bank?
As of September 22nd, 2023, the market capitalization of HDFC Bank Ltd. is ₹ 11,58,332 Cr.. This makes HDFC Bank the largest bank in India and 7th largest in the world by market capitalization. The bank is all set to become the top 4th highest bank in the world by marketcap by the end of 2023.
What future is anticipated for HDFC Bank in 2025?
The future of HDFC Bank in 2025 is expected to be positive, as the company is continually innovating and expanding its operations. The company has established a strong presence in the Indian banking sector, and is expected to continue to grow in the coming years. Analysts have predicted that the stock could reach Rs. 3,795 by 2025. However, investors should bear in mind that this target is only an estimate and the actual share price may vary.
Can HDFC Bank Stock Price reach 5000 INR?
It is difficult to predict the share price for any stock for a future date, including HDFC Bank Ltd. However, analysts have estimated the expected price target for HDFC Bank Ltd for 2025 to be around Rs. 3,795.
This is based on the current market trends and the company’s performance in the past few years. Investors should bear in mind that this target is only an estimate and the actual share price may vary. Although it is predicted for HDFC bank to cross Rs. 5000 in 2029.
HDFC bank could be trading in between ₹9,298.20 and ₹6,508.74 per share, by 2030. So in another 7 years, the stock has a potential to grow by more than 400%.
Conclusion: Is HDFC Bank a good investment in 2023?
HDFC Bank Ltd. is India’s largest private sector lender by assets and is listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) of India. It has had a strong stock performance over the years, and after the HDFC bank- HDFC merger, the company financials are expected to get better.
Analysts have predicted that the HDFC bank stock could reach Rs. 3,795 by 2025. However, investors should bear in mind that this target is only an estimate and the actual share price may vary.
HDFC Bank has achieved a commendable profit growth of 20.0% CAGR over the past five years. Additionally, the bank has demonstrated strong sales growth of 15.0% CAGR during the same period. It has consistently operated with healthy profits, consistently posting positive quarterly results. Moreover, the bank’s cashflow has been on an upward trajectory, reaching Rs. 41,330 Crore as of March 2023.
HDFC is one of the most profitable banks in India from a long time now. It is therefore according to me a good decision to invest in HDFC bank in 2023.
Disclaimer: I hold HDFC bank in my portfolio and is one of the top 3 holdings by current value. This post on HDFC bank share price target 2023 to 2030 is not a financial advise and should only be treated as an educational piece. Please consult a financial advisor before investing in HDFC bank.
What did we learn?
- 1 Stock Price History of HDFC Bank
- 2 HDFC Bank ltd in recent news
- 3 HDFC Bank Latest Earnings Summary: Q1 FY2024
- 4 How to buy HDFC Bank Ltd Shares in India?
- 5 HDFC Bank Ltd. Share Price Prediction 2023-2030
- 6 HDFC Bank Financial Condition: Last 5 years
- 7 HDFC Bank Share Price Target by Experts
- 7.1 HDFC Bank Share Price target by Nomura
- 7.2 HDFC Bank Share Price target by Sharekhan
- 7.3 HDFC Bank Share Price target by Motilal
- 7.4 HDFC Bank Share Price target by Prabhudas Lilladher
- 7.5 HDFC Bank Stock Price Target by Geojit
- 7.6 HDFC Bank Stock Price Target by Emkay Global
- 7.7 HDFC Bank Share Price Target by JM Financials
- 8 HDFC Short Term Price Impact
- 9 FAQs
- 10 Conclusion: Is HDFC Bank a good investment in 2023?