Case study

HDFCBANK

HDFC Bank

Worth a closer look
0Score

HDFC Bank (HDFCBANK) Stock Analysis & Case Study

Is HDFCBANK a good buy? The data-driven verdict.

HDFC Bank (HDFCBANK) trades at ₹786,on the numbers it worth a closer look, a Downstox Snapshot Score of 57/100.

On the numbers, HDFC Bank (HDFCBANK) worth a closer look, a Downstox Snapshot Score of 57/100, weighing fairly valued at 15.9× earnings, ROE of 13.8%. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 20272031.

Last updated . Data snapshot for research, not investment advice.

The Downstox take on HDFCBANK

The puzzle here is a household-name lender trading at a fairly ordinary P/E while its ROE sits in the low teens and ROCE looks modest, partly an artifact of how a bank's borrowed deposits flow through that ratio. The real question post-merger is whether returns climb back toward the franchise's old form as deposit costs settle and the loan book reprices. A Piotroski score of 4 says the recent operating signals are mixed, not the clean improvement the brand implies. Watch deposit growth, margin trend and whether ROE rebuilds before paying up for the name.

Downstox editorial view, written by our own analysts. Information, not investment advice.

HDFCBANK fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹12.11L Cr
Current price
₹786
P/E ratio
15.9×
P/B ratio
2.08×
Book value
₹378
Dividend yield
1.65%
ROCE
7.0%
ROE
13.8%
Piotroski F-Score
4/9

Is HDFCBANK overvalued? HDFCBANK P/E vs its Banking

HDFCBANK's P/E of 15.9× sits below the Banking peer median of 17.9×, so on earnings it screens cheaper than peers, while its 1.65% dividend yield is above the peer median of 0.16%.

HDFCBANK P/E
15.9×
Peer median P/E
17.9×
HDFCBANK div yield
1.65%
Peer median yield
0.16%

The bull case for HDFCBANK

  • A 15.9× P/E sits in the fair-value band, neither cheap nor stretched.
  • A healthy 13.8% return on equity.

The bear case & risks

  • No model or past record guarantees future returns, treat this as one input, not a decision.

HDFCBANK Piotroski F-Score: 4/9, how financially strong is it?

4/9

The Piotroski F-Score grades financial strength on nine profitability, leverage and efficiency checks. HDFCBANK scores 4/9,mixed financial health.

HDFCBANK MTF margin & leverage, Upstox, Zerodha, Groww, Dhan

Margin Trading Facility lets you buy HDFCBANK with part of the capital. Lower margin % = higher leverage. Rates compared across brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox26.5%3.8×
Zerodha22.6%4.4×
Groww22.6%4.4×
DhanCHEAPEST22.0%4.5×

Compare every broker on the HDFCBANK MTF page.

HDFCBANK vs peers,Banking comparison

StockP/EDiv yieldMarket cap
HDFCBANK (this stock)15.9×1.65%₹12.11L Cr
ICICIBANK17.9×0.81%₹9.70L Cr
SBIN11.5×1.67%₹9.61L Cr
KOTAKBANK21.0×0.12%₹4.00L Cr
INDUSINDBK80.6×0.16%₹71,728 Cr
YESBANK22.3×0.00%₹78,371 Cr
AXISBANK16.0×0.07%₹4.23L Cr

About HDFC Bank: sector, index & market-cap context

HDFC Bank (HDFCBANK) is a large-cap NSE-listed company in the Banking sector, and a constituent of the Nifty 50 index group, with a market capitalisation of ₹12.11L Cr. See more Nifty 50 stocks.

How the HDFCBANK Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of HDFC Bank's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

HDFCBANK analysis, FAQs

Is HDFC Bank (HDFCBANK) a good buy?

On the numbers, HDFC Bank (HDFCBANK) worth a closer look, a Downstox Snapshot Score of 57/100, weighing fairly valued at 15.9× earnings, ROE of 13.8%. This is a data snapshot for research, not investment advice.

Is HDFCBANK overvalued or undervalued?

HDFCBANK trades at 15.9× earnings versus a peer median of 17.9×, so it screens cheaper than its Banking peers.

What is the bull case for HDFCBANK?

A 15.9× P/E sits in the fair-value band, neither cheap nor stretched. A healthy 13.8% return on equity.

What are the risks in HDFCBANK?

No model or past record guarantees future returns, treat this as one input, not a decision.

More on HDFCBANK