Have you thought about putting your money into HDFC Bank? Are you curious, about the stock price of one of our country’s banks? In this blog post, we will dig into the data on the HDFC Bank share price. Discuss why it could be an investment opportunity. Furthermore, we will examine the insights from analysts regarding its performance to assist you in making a decision, for your portfolio. Keep reading to find out more!
HDFC Bank Share Price Graph
About the Company
Incorporated in 1994, HDFC Bank Limited was one of the first few private banks which started operations in India after the Government of India came up with the policy to allow private banks to start banking business in India. It was the first such step taken by the Government of India after the nationalization of private banks took place after independence.
The bank has been running efficiently since then and became one of the leading private banks in India. Now, in India, it is arguably the top private bank. Today, the bank’s management views the banking business to provide solidity and reliability to support its consumers and thrives due to excellence in banking service. The bank operates both in retail banking services and corporate banking services and has achieved a mark of excellence in both sectors. Today in order to remain at the top it has adopted best industry practices that are at par with the best of international standards.
Headquartered in Mumbai, the HDFC Bank has 1416 branches spread across 550 cities and towns. All branches are linked through the Internet on a real-time basis. HDFC Bank also provides phone banking service to 500 locations. The bank has a network of 3382 ATMs across the country.
The shares of HDFC Bank are listed on NSE and BSE. HDFC Bank’s ADS (American Depository Shares) are listed on NYSE (the New York Stock Exchange) under the symbol ‘HDB’ and HDFC Bank’s GDR (Global Depository Receipts) are listed on LSE (the Luxembourg Stock Exchange).
To date, the company has received numerous national and international awards for excellence in the banking sector.
Services Offered by HDFC Bank
- Retail/ Personal Banking
- Corporate Banking
- NRI Banking
- Priority Banking
- VBV/ MSC – Online transactions using a Debit Card
- VBV – Online transactions using Credit Card
Company Financials for Analyzing HDFC Bank Share Price
The HDFC Bank share price is Rs 1685 (as of 20.06.17, 11.11 hrs.) in BSE. As per the latest HDFC Bank share price, the standalone basis P/E is 29.86 versus the average industry PE of 27.31. The EPS is Rs 56.64 and the market cap is Rs 4,34,477 crores. The face value of a share is Rs 2. Net NPA to Net Advance percentage stands at 0.28% (as per data of fiscal,’16).
HDFC Bank Limited earns its revenue largely from banking, sales of financial products and services. Recent audited data for the financial year ending on 31 March 2018, shows HDFC Bank has earned Rs 62661.79 crores from accrued interest and discount on advances and bills which amounts to 78.09% of total sales value. In addition, income from Investment is Rs 16222.37 crores contributing to 20.21% of total sales. In addition, interest accrued from balances with RBI and other inter-bank funds is Rs 523.88 crores which amounts to 0.65% of total sales and interests accrued from other sources is Rs 833.31 crores (1.03% of total sales value).
After the end of the second quarter of the 2018 fiscal which ended on 30 June 2018, HDFC Bank reported a standalone interest income of Rs 18827.68 crores. This increased by 8.26% from the previous quarter’s interest income of Rs 17390.73 crores. This also increased by 22.61% from the same quarter of the previous fiscal which was Rs 15355.76 crores. HDFC Bank reported a net profit after tax of Rs 5005.73 crores in this quarter.
The shareholding pattern of HDFC Bank currently has different shareholders in the manner mentioned below.
- The promoter and promoter group of companies together hold 582,312,917 nos of shares. That is equivalent to 21.43% of the total nos of shares.
- The foreign institutions or FIIs hold 858,803,049 nos of shares amounting to 31.61% of total shares.
- 525,488,147 nos of shares which are equivalent to 19.34% of total shares are subscribed to the GDR.
- The non-banking financial institutions or NBFCs and mutual funds together hold 267,622,923 nos of shares or 9.85% of the total nos of shares.
- Financial institutions hold 65,128,320 nos of shares amounting to 2.40% of total shares.
- The general public holds 245,261,765 nos of shares which is equivalent to 9.03% of total shares.
- Others hold 168,926,493 nos or shares or 6.22% of total shares.
- In addition, the Central Government holds a total number of 3,632,573 nos shares. That is equivalent to 0.13% of the total nos of shares.
Shares Held by Different Mutual Fund Companies
- SBI mutual fund in the scheme ETF Nifty 50-D which is a large-cap fund holds 19614016 nos of shares equivalent to Rs 3934.67 crores.
- Aditya Birla mutual fund in the scheme SL frontline Equity Direct-G which is a large-cap fund holds a total of 9345925 nos of shares equivalent to Rs 1874.84 crores.
- SBI mutual fund in the scheme Bluechip Direct-G which is a large-cap fund holds 8290689 nos of shares equivalent to Rs 1663.15 crores.
- Kotak mutual fund in the scheme Banking ETF Reg-D which is a Thematic Fund on Sectoral Banking fund holds 9216876 nos of shares equivalent to Rs 1848.95 crores.
- DSP mutual fund in the scheme Equity & Bond Direct-Growth which is an Aggressive Hybrid fund holds 1775073 nos of shares amounting to Rs 356.09 crores.
Final Thoughts about HDFC Bank Share Price
In conclusion, the share price of HDFC Bank serves as a gauge of the company’s well-being and achievements. Over time it also has witnessed a rise presenting an opportunity, for long-term investors seeking to broaden their investment portfolios. Given its presence, in both international markets, this bank is anticipated to sustain its positive growth trajectory in the coming years. Consequently, it would be prudent to monitor the HDFC Bank share price as we progress into 2021.