Buy HDFC Bank; target of Rs 1150: Prabhudas Lilladher

Prabhudas Lilladher is bullish on HDFC Bank has recommended buy rating on the stock with a target price of Rs 1150 in its research report dated January 18, 2026.

Broker Research

January 19, 2026 / 14:16 IST

Buy

Prabhudas Lilladher's research report on HDFC Bank

HDFCB saw good quarter as core PAT at Rs156.5bn beat PLe by 5.9% due to lower provisions. NII was 1.2% ahead of PLe led by better reported NIM which increased by 8bps QoQ compared to stable NIM for ICICIB. Asset quality was healthy led by lower net slippage and contingent provision reversal of Rs10.4bn driven by better credit performance by a large corporate. Bank expects system to grow by 12-13% in FY27E and it maintained its guidance of growing above system with LDR slated to touch ~90%.

Outlook

We are bit circumspect and factor a ~12% loan CAGR over FY26-28E, since to meet its guidance bank would have to capture incremental deposit market share of 20%+ which may not be easy in the current environment. We keep multiple at 2.5x on Sep’27 core ABV and maintain SOTP based TP at Rs1,150. Retain ‘BUY’.

For all recommendations report, click here