(HDB) HDFC Bank - Overview
Sector: Financial Services | Industry: Banks - Regional | Exchange: NYSE (USA) | Market Cap: 125.242m USD | Total Return: -32.3% in 12m
Industry Rotation: -1.9
Avg Turnover: 182M
EPS Trend: 67.5%
Qual. Beats: 0
Rev. Trend: 80.2%
Qual. Beats: 1
Warnings
Below Avwap Earnings
Tailwinds
No distinct edge detected
HDFC Bank Limited is a major financial institution headquartered in Mumbai, providing a comprehensive range of retail, wholesale, and treasury banking services. Its operations extend across India and into international financial hubs including Dubai, Singapore, and Hong Kong. The bank’s business model relies heavily on a diverse credit portfolio, spanning consumer loans, agricultural finance, and commercial vehicle funding.
Operating within the Indian banking sector, HDFC Bank benefits from a high-growth emerging market characterized by increasing digital payment adoption and rising credit penetration among the middle class. As a diversified bank, it generates revenue through net interest income from lending and fee-based income from insurance, investment products, and trade services. For a deeper dive into these revenue streams and valuation metrics, consider reviewing the latest data on ValueRay.
The company maintains a vast physical infrastructure of branches and ATMs while simultaneously offering digital solutions such as UPI and mobile banking to capture the shift toward paperless transactions. Since its incorporation in 1994, it has expanded into specialized segments including custodial services, structured finance, and supply chain solutions for corporate clients.
- Post-merger credit-to-deposit ratio normalization dictates net interest margin recovery trajectory
- Reserve Bank of India regulatory oversight impacts unsecured retail lending growth
- Indian infrastructure development and corporate expansion drive wholesale banking revenue
- Digital banking adoption and branch expansion strategy influence operating cost efficiency
- Indian macroeconomic growth and interest rate cycles determine asset quality trends
| Net Income: 768.12b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA 1.01 > 1.0 |
| NWC/Revenue: 61.13% < 20% (prev -497.3%; Δ 558.4% < -1%) |
| CFO/TA 0.03 > 3% & CFO 1443.08b > Net Income 768.12b |
| Net Debt (2710.83b) to EBITDA (1032.12b): 2.63 < 3 |
| Current Ratio: error (cannot be calculated; needs correct Total Current Assets and Liabilities) |
| Outstanding Shares: last quarter (1.72b) vs 12m ago -33.04% < -2% |
| Gross Margin: 57.20% > 18% (prev 0.62%; Δ 5.66k% > 0.5%) |
| Asset Turnover: 10.87% > 50% (prev 8.86%; Δ 2.01% > 0%) |
| Interest Coverage Ratio: 0.55 > 6 (EBITDA TTM 1032.12b / Interest Expense TTM 1872.90b) |
| A: 0.06 (Total Current Assets 3057.51b - Total Current Liabilities 0.0) / Total Assets 48108.75b |
| B: 0.12 (Retained Earnings 5589.50b / Total Assets 48108.75b) |
| C: 0.02 (EBIT TTM 1032.12b / Avg Total Assets 46016.46b) |
| D: 0.00 (Book Value of Equity 59.64b / Total Liabilities 42144.76b) |
| Altman-Z'' Score: 0.95 = BB |
Over the past week, the price has changed by +0.92%, over one month by -8.73%, over three months by -25.81% and over the past year by -32.28%.
- StrongBuy: 3
- Buy: 1
- Hold: 0
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 34.4 | 41.9% |
P/E Forward = 17.3611
P/S = 0.0442
P/B = 1.5813
P/EG = 1.0118
Revenue TTM = 5001.31b USD
EBIT TTM = 1032.12b USD
EBITDA TTM = 1032.12b USD
Long Term Debt = 6158.34b USD (from longTermDebt, two quarters ago)
Short Term Debt = unknown (none)
Debt = 6158.34b USD (corrected: LT Debt 6158.34b + ST Debt none)
Net Debt = 2710.83b USD (from netDebt column, last quarter)
Enterprise Value = 3226.07b USD (125.24b + Debt 6158.34b - CCE 3057.51b)
Interest Coverage Ratio = 0.55 (Ebit TTM 1032.12b / Interest Expense TTM 1872.90b)
EV/FCF = 1.87x (Enterprise Value 3226.07b / FCF TTM 1722.67b)
FCF Yield = 53.40% (FCF TTM 1722.67b / Enterprise Value 3226.07b)
FCF Margin = 34.44% (FCF TTM 1722.67b / Revenue TTM 5001.31b)
Net Margin = 15.36% (Net Income TTM 768.12b / Revenue TTM 5001.31b)
Gross Margin = 57.20% ((Revenue TTM 5001.31b - Cost of Revenue TTM 2140.80b) / Revenue TTM)
Gross Margin QoQ = 58.38% (prev 61.05%)
Tobins Q-Ratio = 0.07 (Enterprise Value 3226.07b / Total Assets 48108.75b)
Interest Expense / Debt = 7.46% (Interest Expense 459.24b / Debt 6158.34b)
Taxrate = 23.84% (67.00b / 281.02b)
NOPAT = 786.04b (EBIT 1032.12b * (1 - 23.84%))
Current Ratio = unknown (Total Current Assets 3057.51b / Total Current Liabilities 0.0)
Debt / Equity = 1.07 (Debt 6158.34b / totalStockholderEquity, last quarter 5744.57b)
Debt / EBITDA = 2.63 (Net Debt 2710.83b / EBITDA 1032.12b)
Debt / FCF = 1.57 (Net Debt 2710.83b / FCF TTM 1722.67b)
Total Stockholder Equity = 4166.75b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.67% (Net Income 768.12b / Total Assets 48108.75b)
RoE = 18.43% (Net Income TTM 768.12b / Total Stockholder Equity 4166.75b)
RoCE = 10.00% (EBIT 1032.12b / Capital Employed (Equity 4166.75b + L.T.Debt 6158.34b))
RoIC = 6.88% (NOPAT 786.04b / Invested Capital 11422.47b)
WACC = 5.71% (E(125.24b)/V(6283.58b) * Re(6.98%) + D(6158.34b)/V(6283.58b) * Rd(7.46%) * (1-Tc(0.24)))
Discount Rate = 6.98% (= CAPM, Blume Beta Adj.) -> floored to rf + 0.7*ERP = 7.92%
Shares (quarterly) Correlation: 6.67 | Cagr: -38.27%
[DCF] Terminal Value 85.63% ; FCFF base≈1485.29b ; Y1≈1387.50b ; Y5≈1284.55b
[DCF] Fair Price = 6.97k (EV 38486.71b - Net Debt 2710.83b = Equity 35775.87b / Shares 5.13b; r=6.0% [WACC]; 5y FCF grow -8.39% → 3.0% )
EPS Correlation: 67.48 | EPS CAGR: 7.03% | SUE: 0.17 | # QB: 0
Revenue Correlation: 80.15 | Revenue CAGR: 30.15% | SUE: 3.07 | # QB: 1
EPS current Quarter (2026-06-30): EPS=0.39 | Chg30d=-7.76% | Revisions=-20% | Analysts=1
EPS next Quarter (2026-09-30): EPS=0.39 | Chg30d=-8.67% | Revisions=-20% | Analysts=1
EPS current Year (2027-03-31): EPS=1.27 | Chg30d=-6.45% | Revisions=-20% | GrowthEPS=-18.9% | GrowthRev=+8.1%
EPS next Year (2028-03-31): EPS=1.47 | Chg30d=-29.42% | Revisions=-20% | GrowthEPS=+15.7% | GrowthRev=+10.6%
[Analyst] Revisions Ratio: -20%