Shares of HDFC Bank witnessed a positive movement in Wednesday’s trading session, gaining 1.31 percent to trade at ₹741.15, up ₹9.60 from the previous close. The stock has come into focus following recent leadership-related developments and renewed optimism from global brokerage firms. Former chairman Atanu Chakraborty recently highlighted internal concerns within the bank, stating that mis-selling of AT-1 bonds and the bank’s underperformance were among the reasons behind his resignation. The remarks have drawn attention to the bank’s governance and leadership transition at a time when investors are closely tracking future management decisions. Despite the concerns, brokerage houses remain largely bullish on the stock.
Global brokerage firm Jefferies has maintained a “Buy” rating on HDFC Bank with a target price of ₹1,240 per share, implying a potential upside of around 69.45 percent from the recent price level of about ₹731.80. According to Jefferies, the bank has become attractively valued following the recent correction, currently trading at around 1.6 times FY27 estimated adjusted book value, which represents a discount and only a small premium compared to its peers. The brokerage also noted that HDFC Bank continues to demonstrate strong asset quality, steady growth, and healthy return on equity, making it one of its top picks in the banking sector.
Meanwhile, JPMorgan has upgraded the stock to “Overweight” from “Neutral”, revising its target price to ₹1,010 per share from ₹1,090 earlier. The revised target still suggests an upside potential of about 38.02 percent from the recent trading price of ₹731.80. JPMorgan believes the recent valuation reset has created an attractive entry opportunity, adding that the bank’s core franchise remains strong due to its solid market position and consistent operational performance over the years.
Operationally, HDFC Bank delivered steady performance in Q3 FY26. The bank reported average deposits of ₹27,524 billion, registering a 12.2 percent year-on-year growth and 1.5 percent sequential growth. Advances under management stood at ₹28,641 billion, reflecting a 9 percent year-on-year increase and 2.5 percent quarter-on-quarter growth.