HDFC Bank Stock Price Analysis and Quick Research Report. Is HDFC Bank an attractive stock to invest in?

The Indian Banking sector is rising rapidly due to infrastructure spending, favorable government policy, rising disposable income and increasing consumerism and easier access to credit.

The banking industry is in boom with growing demand across India. But is it the right time to invest in banking stocks is the question to be asked? We can look into more details and dig a little deeper into the analysis of the stock.

HDFC Bank stock price today is Rs 2008.5. Let’s look at how HDFC Bank is performing and if it is the right time to buy the stock of HDFC Bank with detailed analysis.

•  For Banking companies, The primary source of Income is interest earned on various loans given to individuals and corporates. HDFC Bank has earned Rs 300517.0417 Cr. revenue in the latest financial year. HDFC Bank has posted outstanding revenue growth of 32.9937685783847 % in last 3 Years.

• In terms of advances, HDFC Bank reported 5.4227 % YOY,  rise . If you see 3 years advance growth, it stands at 24.1547265078821 %.

• Currently, HDFC Bank has a CASA ratio of 34.7941 %. It’s overall cost of liability stands at 5.451 %. Also, the total deposits of HDFC Bank from these accounts stood at Rs 2714714.8959 Cr.

• HDFC Bank has a healthy ROA track record. The ROA of HDFC Bank is at 1.7893 %.

• The Lender is efficiently  managing it’s overall asset portfolio. The Gross NPA and Net NPA stood at 1.33 % and 0.43 % respectively as on the latest financial year.

• One other important measure of banks’ financial health is provisioning coverage ratio. The YoY change in provision and contingencies is negative at -50.4113931394858 % which means it has decreased from the previous year.

• Non-Interest income or other incomes are very important for banks as it gives a regular source of income for bank with no additional risk. Other income of HDFC Bank decreased and is currently at Rs 45632.2818 Cr.

• HDFC Bank has a Good Capital Adequacy Ratio of 19.55 .

• The best metric which provides insights about bank’s valuation is P/B ratio. Currently HDFC Bank is trading at a P/B of 2.9711 . The historical average PB of HDFC Bank was 3.19704.

• Share Price: - The current share price of HDFC Bank is Rs 2008.5. One can use valuation calculators of ticker to know if HDFC Bank share price is undervalued or overvalued.