Buy HDFC Bank, target price Rs 2025: Prabhudas Lilladher
HDFC Bank with a target price of Rs 2025. The current market price of HDFC Bank is Rs 1564.
HDFC Bank, incorporated in the year 1994, is a banking company (having a market cap of Rs 1170848.35 Crore).
HDFC Bank key Products/Revenue Segments include Interest & Discount on Advances & Bills, Income From Investment, Interest and Interest On Balances with RBI and Other Inter-Bank Funds for the year ending 31-Mar-2023.
Financials For the quarter ended 30-06-2023, the company has reported a Consolidated Total Income of Rs 61021.29 Crore, up 6.76 % from last quarter Total Income of Rs 57158.84 Crore and up 38.05 % from last year same quarter Total Income of Rs 44202.32 Crore.
The bank has reported net profit after tax of Rs 12370.38 Crore in latest quarter.
Investment Rationale
While core earnings growth would be muted for FY24E (5.2% YoY) as NIM and loan growth normalize, core PAT may witness a 19.4% CAGR over FY24-26E. Basis core RoA at 1.75% for FY26E (ICICIB 1.94%), the brokerage tweaks multiple from 3.0x to 2.8x but roll forward to core Sep’25 ABV.
Promoter/FII Holdings Promoters held 25.52 per cent stake in the company as of 30-Jun-2023, while FIIs owned 33.38 per cent, DIIs 26.68 per cent.
