HDFC Bank stock: buy or sell?

HDB stock price: $127.81 0.21% At close on June 26th, 2019

Updated on:
June 26th, 2019

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HDFC Bank stayed steady a slightly good 0.21% and closed at $127.81. Counting Wednesday, it's been 3 climbing sessions in a row, soaring $1.00 or 0.78%.

HDFC Bank Limited provides a range of banking and financial services to individuals and businesses in India, Bahrain, Hong Kong, and Dubai.

Should I buy HDFC Bank stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. Having a trading strategy helps to make decisions easier, quicker and with less hesitations. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with HDFC Bank stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This doesn't mean HDB will fall in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems.

Is HDFC Bank stock a buy?

Financial institutions and banks publish stock ratings everyday. At Stocks2.com, we found 1 rating published for HDB stock in the last month.

Is HDB a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-6-11NomuraBuyNeutral

HDFC Bank stock analysis

Daily outlook

HDFC Bank stayed stable a slightly good 0.21% and closed at $127.81.

Shares of HDFC Bank ended today at $127.81 and stayed steady a slightly good 0.21%. Since last March when SMA100d and SMA200d crossed up, HDB price gained $14.55 per share (12.85%). On February HDB price bounced up over the SMA of 200 days demonstrating to be a significant support for this stock. On June 11th, HDB hit a new all time high, pushing higher than on Jun 10th tops. Check different trading setups that use ATHs as triggers.

HDB stock chart (daily)

Weekly outlook

Shares of HDFC Bank closed this week at $127.81 and inched a slightly good 0.79%.

HDFC Bank stock is trading in the range of its last top and last bottom. Loosing would mean breaking the current uptrend. Breakdowns under last bottom are selling point signals for some trading strategies. Not so far away is the last all-time high HDFC Bank marked by mid June. Since mid March when SMA20w and SMA40w crossed up, HDB price gained $24.36 per share (23.55%). Early February HDB price bounced up over the SMA of 40 weeks that acted as support stopping new slides.

HDB stock chart (weekly)

HDFC Bank stock price history

HDFC Bank IPO was on July 20th, 2001 at $1.89 per share1. Since then, HDB stock surged a 6,662.40%, with a yearly average of 391.90%. If you had invested right after HDB's IPO a $1,000 in HDFC Bank stock in 2001, it would worth $66,624.00 today.

1: Adjusted price after possible price splits or reverse-splits.

HDFC Bank stock historical price chart

HDB stock reached all-time highs on Jun/11 with a price of $129.73.

HDFC Bank stock price target

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. We do not recommend to follow these stock price predictions without a critical thinking from your side, as their accuracy is usually low. For the last month we have not detected any price target for HDFC Bank stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

After posting its last earnings report on April, HDFC Bank escalated a great 11.42%. As soon as we get its actual EPS from the earnings report, we will extend this review.
HDB earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2016-Q3-n/a24.11n/a
2017-Q1-n/a54.57n/a
2017-Q2-n/an/an/a
2017-Q3-n/a30.54n/a
2017-Q42018-03-20n/an/an/a
2018-Q12018-06-22n/an/an/a
2018-Q22018-10-01n/an/an/a
2018-Q32019-01-02n/an/an/a
2018-Q42019-04-01n/an/an/a
2019-Q1-n/an/an/a

Annual financial results

In 2018, HDFC Bank annual sales skyrocketed an outstanding 22.86% to $567,758.00 million USD from $462,122.00 marked in 2017. When comparing 2018 vs 2017, nevertheless, profit margin (that is, the net income divided by revenues) appreciated a 1.03% to 31.44%.

HDFC Bank fiscal year ends in March, and to evaluate its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, HDFC Bank TTM sales up to December 2018 were $473,540.00 and income $152,267.30 million dollars. If we compare this TTM figures with the last reported annuality, we can esteem HDFC Bank business evolution since March 2018: Annual sales up to December, compared to lastest yearly report, plummed a frightening -16.59%. Improving that, profit margin (net income/sales) remained stable at 31.44%.

HDB annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2014$8,255,700 M-$87,430 M1.1%-
2015$315,998 M-96.17%$99,238 M31.4%13.51%
2016$389,195 M23.16%$117,915 M30.3%18.82%
2017$462,122 M18.74%$140,530 M30.4%19.18%
2018$567,758 M22.86%$178,515 M31.4%27.03%
TTM $473,540 M-16.59%$152,267 M32.2%-14.70%

Quarterly financial results

HDFC Bank posted million in revenues for 2018-Q4, a -100.00% less compared to previous quarter. Reported quarter income marked million with a profit margin of . Profit margin remained constant a 0.00% compared to previous quarter when profit margin was 33.35%. When comparing sales to same quarter last year, HDFC Bank sales marked a scary loss and plunged a -100.00%.
HDB quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q3$139,235 M-$40,528 M29.1%-
2017-Q4$141,835 M1.87%$46,426 M32.7%14.55%
2018-Q1$163,469 M15.25%$51,640 M31.6%11.23%
2018-Q2$146,316 M-10.49%$46,014 M31.4%-10.89%
2018-Q3$163,755 M11.92%$54,613 M33.4%18.69%

HDFC Bank ownership

When you are planning to buy shares of a stock, it's worth to overview its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For HDFC Bank, 0.00% of all outstanding shares are owned by its staff.

In case of HDFC Bank stock, 18.53% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for HDB stock account 0.00%, no big difference from last month.

The following table compares ownership indicators for other stocks related to HDFC Bank:

HDBIBN
Market cap$332.3 B$79.8 B
Total shares2,600.0 M6,430.0 M
Float shares4,450.0 M3,200.0 M
  - Institutional holdings (%)18.5%23.8%
  - Insider holdings (%)0.0%0.0%
Shares in short selling0.0%0.0%

HDFC Bank summary

Wednesday, June 26th, 2019
Open$128.25
Close$127.81
Day range$127.50 - $128.44
Previous close$127.54
Session gain0.21%
Average true range$1.79
50d mov avg$121.02
100d mov avg$113.84
200d mov avg$104.65
Daily patternlt01a
Weekly pattern lt06a

HDFC Bank performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. For HDFC Bank, the comparison is made against Array.
Stock3m6m12m
HDBHDFC Bank10.83%24.56%22.32%
IBNICICI Bank8.29%20.02%56.10%

HDFC Bank competitors

Choosing a list of competitors for HDFC Bank it's difficult. We selected just one public company that in our opinion is related to and can be considered HDFC Bank competitor:

Latest HDFC Bank stock news