HDFC Bank shares experienced a notable rally, reaching a new high in Wednesday's trading session, April 16, 2025, despite a largely stable market. This surge coincided with the Bank Nifty's continued upward trajectory. The stock briefly touched a 52-week high of Rs 1,882.05 per share before receding slightly amidst broader market pressures. As of approximately 12:02 pm, the stock was trading lower by 0.1 per cent, or Rs 1.9, at Rs 1,863 per share. This pullback followed a robust performance in the prior session, where the stock had closed over 3 per cent higher at Rs 1,864.9, buoyed by Goldman Sachs' optimistic outlook and a 'buy' recommendation with a target price of Rs 2,087.

Goldman Sachs' positive stance was reaffirmed after HDFC Bank announced adjustments to its savings account interest rates. The revised rates, effective from April 12, 2025, stipulate a 2.75 per cent interest rate for deposit account balances below Rs 50 lakh and 3.25 per cent for balances exceeding Rs 50 lakh. Concurrently, the bank also modified its fixed deposit rates across various tenures.

The majority of brokerage firms have maintained a bullish perspective on HDFC Bank following the release of its third-quarter results. Firms such as Sharekhan and Emkay have projected potential target levels of Rs 2,100. Emkay's analysis of the December quarter results highlighted that the bank's net profit was impacted by slower credit growth and increased provisioning. Emkay also noted the impending listing of HDB Financial Services, the bank's financial services arm.

Emkay acknowledged that near-term asset quality concerns could potentially affect valuation. Nonetheless, the brokerage reiterated a 'buy' rating on HDFC Bank, maintaining an unchanged target price of Rs 2,100. This valuation is based on valuing the standalone bank at 2.4 times its estimated December 2026 adjusted book value (ABV) and its subsidiaries at Rs 275 per share.

Technical Analysis

Jigar Patel, Sr. Manager- Equity Research at Anand Rathi, provided a technical perspective, stating, "The stock is currently trading near its previous high of 1880, which coincides with the R3 level of the yearly Camarilla pivot. This zone (1880–1900) is likely to act as strong resistance, making it an ideal range to consider booking profits."

Patel further cautioned that sustained buying interest and renewed upward momentum would likely depend on the stock achieving a weekly close above the Rs 1,900 mark. Until such a breakout occurs, price action within this resistance zone may remain volatile or face rejection, suggesting caution for those considering new long positions.

Q4FY25 Results

According to the BSE earnings calendar, HDFC Bank is scheduled to announce its Q4 earnings on April 19 (Saturday).

Share Price Performance

Year-to-date, HDFC Bank shares have increased by over 5 per cent, mirroring the gains made by the Nifty50 index during the same period.