Jefferies retains ‘buy’ rating on HDFC Bank

(20 second reading) Global brokerage firm Jefferies maintained a ‘buy’ rating on India’s biggest private lender, HDFC Bank, saying that its margin improvement will be key to increase the RoA and re-rating valuations. The brokerage firm assigned a target price of Rs 1,800 per share, signalling an upside of 20 percent from current levels.
Analysts at Jefferies believe that HDFC Bank’s potential for credit growth over the next five years would build sensitivity to deposit market share gains.
The analysts at Macquarie had assigned a ‘buy’ rating on HDFC Bank, with a target price of Rs 2,000 per share