Investec has reiterated its ‘Hold’ rating on HDFC Bank with a target price of ₹1,650, reflecting a potential downside of 1.3% from the current market price of ₹1,671.90.
The brokerage highlighted a slight miss on Net Interest Income (NII) but noted a beat on profitability. Management remains focused on reducing the Loan-to-Deposit Ratio (LDR), while agricultural slippages increased in Q3FY25 due to seasonality.
No changes have been made to earnings estimates for FY25/FY26. However, Investec expects it may take at least two years for HDFC Bank to bring its balance sheet to a stable state regarding its Credit-Deposit (CD) ratio.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.
