Author: Nishtha Mehrotra | EQMint
HDFC Bank is back in focus as global brokerage UBS retains its Buy rating on the private sector lender with a ₹1,000 price target. UBS has also added HDFC Bank to its APAC Key Call List, highlighting potential catalysts around leadership clarity, branch productivity and improving margins.
The ₹1,000 target comes as the bank approaches a key transition, with current MD and CEO Sashidhar Jagdishan set to step down in October. HDFC Bank has submitted two names to the RBI for the next MD and CEO, with the candidates not publicly disclosed.
UBS believes resolution of the leadership uncertainty could support a re-rating. The brokerage also highlighted HDFC Bank’s branch expansion, noting that 42% of its branches are less than five years old, potentially providing room for productivity improvements as newer branches mature.
The bank’s shares closed at ₹739.50 on 21 September, according to market data, leaving the UBS target materially above the prevailing price.
For investors tracking the stock, the key developments to watch include the RBI’s decision on the next CEO, loan and deposit growth, margin trends and the productivity of HDFC Bank’s expanded branch network.
Disclaimer: This article is for information purposes only and is not investment advice.
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