Buy HDFC Bank; target of Rs 1500: Sharekhan
Sharekhan is bullish on HDFC Bank has recommended buy rating on the stock with a target price of Rs 1500 in its research report dated October 16, 2020.
October 19, 2020 / 06:47 PM IST
Sharekhan's research repor on HDFC Bank
HDFC Bank’s Q2FY2021 results were strong with operational performance in line with expectations, and asset quality improved on a q-o-q basis, results indicated a revert to normalcy. Management commentary was positive and indicated a bright long-term outlook. Collection trends were encouraging, with demand resolutions (collections efficiency) at ~95% in September 2020 and 97% in October 2020. HDFC Bank currently trades at 2.9x/2.5x its FY2022E/FY2023E book value per share (BVPS). We have introduced FY2023E estimates in this note. We expect HDFC Bank’s business quality and franchise strength will help it tide over near-term challenges.
We retain our Buy rating on the stock with a revised price target (PT) of Rs. 1,500.
For all recommendations report, click here
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