Brokerage Radar: HDFC Bank, RBL, PNB and cement cos in focus

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Explore the latest brokerage calls and analyst insights on today's active stocks and sectors. Our coverage includes updates on the cement sector as well as individual stocks like HDFC Bank, RBL, and PNB.

HDFC Bank

Nomura On HDFC Bank

Neutral Call, Target Rs 1,660/Sh
Co Reported 11% YoY/ Flat QoQ Growth In Its Gross AUM On A Pro Forma Basis
Gross Loans Declined By 0.8% QoQ, While YoY Growth Stood At A Soft 10.8% YoY
Deposit Growth Was Soft, Growing At 15.3% YoY On A Pro-Forma Basis & Flat QoQ
CASA Declined 5% QoQ, And As A Result CASA Ratio Was Down 190 bps QoQ To 36%

Morgan Stanley On HDFC Bank
Overweight Call, Target Rs 1,900/Sh
Volume Growth Was Expected To Be Soft Owing To Seasonality In Q1 Update
Period-end Deposit Growth Was Flat QoQ, But Was Up 4.6% QoQ On An Average Basis
Co Reported Loan Growth Which Was Down 0.8% QoQ, Largely Owing To The Wholesale Segment
LCR Improved Sharply QoQ, At 123% Vs 115%

CLSA On HDFC Bank
Outperform Call, Target  Rs 1,725/Sh
Q1 Is Seasonally Weak But Deposit Accretion Was Weaker-than-expected In Q1 Update
Total Deposit Book Was Flat QoQ Vs An Accretion Of `30,000-45,000 Cr In Past Quarters
Flat Deposit Book Due To Run-Down Of Large Part Of Current Account Deposit Accretion In Prior Quarter
Have Highlighted Current Account Run-Down In Q1 Is Usually 50-60% Of The Accretion In Prior Q4
On A YoY Basis, Deposit Growth Was 16-17%, Adjusted For Merger

Morgan Stanley On PNB
Underweight Call, Target Rs 70/Sh
Loan Growth Strong, +5% QoQ Vs. 1.7%, Led By Both Domestic Segment & Overseas Loans
On A YoY Basis, Overall Loan Growth Was 12.7% Vs 11.2% Last Quarter
Overall Deposit Growth Was Steady, 2.8% QoQ Vs. 3.5%; +8.5% YoY
Domestic LDR Improved, 72.7% Vs. 70.7%

Morgan Stanley On RBL Bank
Underweight Call, Target Rs 250/Sh
Gross Loan Growth Was 3% QoQ, 18% YoY
Retail Loan Growth Was Strong While Non-Retail Declined
Retail Deposit Growth Was Healthy, +5% QoQ; +25% YoY
CASA Deposits Declined 9%, After +16% QoQ In Q4FY24
Liquidity Was Strong, 137% Vs 140%

Nomura On Cement
Pan India Prices Unchanged In July As Demand Failed To Revive
Eastern Region Was The Only Region To Witness Price Hikes, Trade Prices Up By Rs 4/Bag MoM
Southern Region Demand Shows Signs Of A Recovery; Mkt Share Tussle Leads To Unchanged Prices
Central Region Shows No Uptick In Demand Due To Extreme Weather Conditions
Trade Prices Flat MoM In Central Region
Western Region’s Trade Prices Remain Flat At Rs 353/Bag In July
Strikes In Pune Lead To Significant Decline In Volumes In Western Region
Northern Region Trade Prices Flat In July MoM At Rs 349/Bag; Demand Remains Weak