HDFC Bank market cap crosses ₹14 lakh crore for the first time as stock hits fresh high

India's largest private lender HDFC Bank's market capitalisation topped ₹14 lakh crore for the first time on Thursday, November 28 as the stock rose to its fresh high of ₹1,836.05 today.

HDFC Bank's market cap touched ₹14.01 lakh crore but later slipped below the coveted ₹14 lakh crore mark amid sharp profit-taking in the broader markets.

HDFC Bank is India's third most-valuable listed company after IT major Tata Consultancy Services (TCS), which has a market cap of ₹15.60 lakh crore and Reliance Industries (RIL) with a market cap of ₹17.50 lakh crore.

Stock Price Trend

At 10.51 am, HDFC Bank share price was at ₹1,809.15, down 0.10 per cent against its previous close of ₹1,811. However, earlier today, the stock touched a fresh record high of ₹1,836.05 following a 1.4 per cent gain. So far this week, the stock has risen nearly 5 per cent.

The recent surge in the lender's performance can be attributed to the MSCI rebalancing, which came into effect on Monday, November 25. Analysts project an influx of around $2.5 billion into Indian markets, with HDFC Bank expected to receive a significant portion of this capital.

As part of this rebalancing, HDFC Bank’s weight in the MSCI Emerging Markets (EM) Index is set to rise, potentially bringing in $1.9 billion in foreign institutional investor (FII) investments, suggested estimates by Nuvama Alternative Research.

In the last one month, the stock is up 4.8 per cent while on a year-to-date (YTD) basis, it has gained 6 per cent. Meanwhile, in the last one year the stock of India's most valuable lender has surged 18 per cent.

Financial Snapshot

HDFC Bank reported a 5.3% increase in standalone net profit to ₹16,821 crore in the second quarter of FY25, up from ₹15,976 crore in the same quarter last fiscal year.

The bank's net interest income (NII), which is the difference between interest earned and paid, grew by 10% to ₹30,110 crore, compared to ₹27,390 crore in the previous year.

HDFC Bank's core net interest margin (NIM) for the September quarter stood at 3.46% on total assets and 3.65% on interest-earning assets, compared to 3.47% and 3.66%, respectively, in the previous June quarter.

The bank reported interest income of ₹74,017 crore for the quarter, up from ₹67,698 crore in the same period last year.

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