Jefferies has maintained a ‘Buy’ rating on HDFC Bank with a target price of ₹2,120/share, indicating a potential upside of 21.3% from the current market price (CMP) of ₹1,748.40.
In its Q3FY25 update, the bank’s loan growth slowed slightly, softer than expectations, following a pullback in an otherwise strong quarter. However, AUM growth was better, with retail loans rising, and deposits growing by 16% year-on-year. The loan-to-deposit ratio (LDR) fell to 99% YoY, above the bank’s target range of 90%.
Valuations already account for the slower growth trajectory, while net interest margin (NIM) trends will be a key monitorable moving forward.
Disclaimer: The above analysis is based on inputs provided and is for informational purposes only. It does not constitute financial advice. Readers are advised to consult their financial advisors before making any investment decisions.
