Jefferies has reaffirmed its ‘Buy’ rating on HDFC Bank, with a target price of ₹2,120 per share, implying an upside potential of over 18% from the current market price of ₹1,792.80. The brokerage noted that Q4FY25 loan growth accelerated to 5.4%, up from 3% in the previous quarter, signaling a pickup in lending momentum.
Segment-wise, retail loans grew 9% year-on-year, while commercial and rural banking (CRB) rose 3%. On the other hand, corporate loans declined 4% YoY, continuing a trend seen over recent quarters. The bank’s assets under management (AUM) expanded by 8%, while deposits registered a healthy 14% YoY growth, indicating a solid funding base.
Jefferies believes the improved growth metrics and strong deposit traction reduce the need for further correction in earnings projections for FY26 and FY27. The brokerage remains optimistic about HDFC Bank’s long-term prospects, given its robust retail franchise and steady balance sheet performance.
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