HDFC Bank Limited (HDB) AI Stock Analysis

Established in 1994 and based in Mumbai, HDFC Bank Limited provides banking and financial services across India, Bahrain, Hong Kong, and Dubai. It operates through segments including Treasury, Retail Banking, Wholesale Banking, Other Banking Business, and Unallocated segments. Its services include deposit accounts such as savings, current, and fixed deposits, as well as Demat accounts. The bank delivers lending products spanning personal, home, vehicle, business, educational, gold, and rural loans, alongside equipment and property financing. HDFC Bank also offers credit and debit cards, insurance, investment, payment, trade finance, foreign exchange, merchant services, and digital banking platforms.

HDFC Bank grew revenue from $1.60T in FY2022 to $5.21T in FY2026, representing a 5-year revenue CAGR of 27.8%. Net income rose from $386.00B in FY2022 to $799.95B in FY2026, though net margin shifted from 24.1% to 15.3% over the same timeframe. Diluted EPS expanded from $1.32 in FY2022 to $1.62 in FY2026. For the latest quarter ended June 30, 2026, quarterly revenue grew 16.6% year-over-year, while quarterly earnings increased 18.1% year-over-year. TTM operating margin stood at 33.3%, compared to the 37.7% median of its US-listed Financial Services peers.

As of June 30, 2026, HDFC Bank held $2.39T in cash and short-term investments against total debt of $5.69T, resulting in net debt of $3.30T. Total assets were $50.03T, and shareholders' equity reached $6.10T, generating a debt-to-equity ratio of 0.93. In FY2026, the company generated $1.76T in operating cash flow and $1.72T in free cash flow. Capital deployment during FY2026 included $40.93B in capital expenditures and $217.87B in dividends paid, while share count grew 38.4% over five years.

At a share price of $23.84, HDFC Bank trades at a trailing P/E of 15.4x and a forward P/E of 13.5x, compared to medians of 12.1x and 10.8x for its US-listed Financial Services peers. Its price-to-book ratio is 1.4x, and its EV-to-revenue multiple is 9.1x. Over the past 1-year period, HDB shares fell 29.4%, trailing the S&P 500 (SPY) gain of 16.8%. Over five years, the stock returned -22.7% versus an 83.0% return for the S&P 500.

HDFC Bank pays an annual forward dividend of $0.41 per share, representing a dividend yield of 1.71%. The bank has paid dividends for 6 consecutive years, supported by a payout ratio of 57.6%. Its last ex-dividend date was August 7, 2026.

Wall Street coverage includes 2 Strong Buy, 1 Buy, and 1 Hold ratings. The mean price target of $30.52 implies an upside of 28.0% over the last close of $23.84. For the fiscal year ending March 31, 2027, consensus EPS is $1.21 on revenue of $2.01T. Over the last 4 quarters, HDFC Bank has beaten EPS estimates 4 times.

This page is an AI-written research summary of HDFC Bank Limited (HDB). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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