
Morgan Stanley has reiterated its ‘Overweight’ rating on HDFC Bank with a target price of ₹1,975, suggesting a potential upside of 18.1% from the current market price of ₹1,671.90.
The brokerage praised HDFC Bank’s strong performance in the quarter despite challenging macroeconomic conditions. It noted the bank’s steady asset quality and robust franchise among peers.
Key highlights include a significant 18% year-on-year growth in fee income and expectations of accelerated loan growth once the Loan-to-Deposit Ratio (LDR) normalizes by the first half of FY26. Morgan Stanley also emphasized that valuations remain attractive at 14x one-year forward core earnings.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.