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HDFC Bank Shares In Spotlight After ADR Slump Despite Strong Q3 Metrics

HDFC Bank’s gross advances surged 11.9% year-on-year to Rs 28.4 lakh crore, signaling sustained credit demand.

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HDFC Bank (Photographer: Vijay Sartape/NDTV Profit)
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HDFC Bank shares are drawing attention after its American Depositary Receipt fell 6.33% to $34.17 on Tuesday. This comes even as India’s largest private sector lender reported robust growth across key business indicators for the third quarter ended December, according to its latest operational update.

The bank’s gross advances surged 11.9% year-on-year to Rs 28.4 lakh crore, signaling sustained credit demand. Average advances for the quarter stood at Rs 28.6 lakh crore, up 9% from the same period last year.

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On the deposit front, momentum remained strong. Average deposits grew 12.2% year-on-year to Rs 27.5 lakh crore, while average CASA deposits rose 9.98% to Rs 8.9 lakh crore.

Shares of HDFC Bank have fallen 42.85% in the last 12 months, and currently trades with a relative strength index of 52, which suggests neutral market sentiment.

Out of 48 analysts tracking the company, 46 maintain a 'buy' rating, two recommend a 'hold,' while none suggest 'sell,' according to Bloomberg data. The average 12-month consensus price target of Rs 1,157 implies an upside of 16.9%.

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