HDFC Bank shares declined 2 percent in early trade on Monday, October 19, emerging among the top losers on the Nifty 50 after the private sector lender reported its second-quarter FY27 results over the weekend. Concerns over pressure on net interest margins and modest earnings growth weighed on sentiment, even as several major brokerages maintained bullish recommendations on the stock.
HDFC Bank stock fell to Rs 714 in morning trade, taking its year-to-date decline to 27.9 percent, compared with an 11.5 percent fall in the Nifty 50. The bank's market capitalisation stood at approximately Rs 11.02 lakh crore.
The decline came amid broader weakness in banking stocks, with the Bank Nifty slipping 0.5 percent. At 9:25 am, the Sensex was down 100.65 points, or 0.13 percent, at 74,628.62, while the Nifty 50 declined 26.70 points, or 0.12 percent, to 23,119.45.
Share Markets Live Updates | Sensex, Nifty, GIFT Nifty Updates
HDFC Bank reported a 4.7 percent year-on-year increase in standalone net profit to Rs 19,510 crore for the September quarter, broadly meeting market expectations. Net interest income (NII) rose 9.7 percent to Rs 34,619 crore. The bank's gross non-performing asset ratio improved to 1.11 percent from 1.17 percent in the preceding quarter, while gross advances grew 16.3 percent year-on-year. However, provisions increased 18.7 percent sequentially to Rs 3,574 crore.