Nuvama Institutional Equities has retained its ‘Buy’ rating on HDFC Bank, assigning a target price of ₹2,195. The brokerage pointed out that the bank delivered a strong Q4FY25 performance, with a core NIM expansion of 5 basis points quarter-on-quarter and a 10% year-on-year growth in core PPOP.
Notably, slippages declined by 15% on a sequential basis, a key positive from an asset quality standpoint. Management remains optimistic about sustaining robust deposit growth despite the evolving interest rate cycle, though it guides for a more tempered improvement in the LDR compared to FY25.
The report also noted that Mr. Rahul Shukla, who headed the Commercial and Rural Banking (CRB) business, has gone on a personal sabbatical, and his responsibilities have been redistributed internally.
Disclaimer: The above views are of the broker’s and not the author or the publication’s. Please make any and every investment decision after consulting your financial advisor.
