Jefferies has reaffirmed a ‘Buy’ rating on HDFC Bank, with a target price of ₹2,380, stating that the bank remains one of its top sector picks despite current volatility in sentiment.
The brokerage noted that the management expects policy easing—especially lower interest rates—to boost consumption and credit growth in H2FY26, which will help support loan growth. It sees HDFC Bank’s credit growth in FY26 being in line with the sector, and outpacing it in FY27.
While NIMs (Net Interest Margins) are likely to face near-term correction, Jefferies expects a recovery from FY27 onward. It added that asset quality remains resilient, with no material stress visible. On the recent allegations involving the bank and its CEO, Jefferies termed it a “noisy but non-event,” and reiterated its positive long-term stance.
