Hdfc Bank Limited Stock Buy Hold or Sell Recommendation
| HDB Stock | USD 60.68 0.65 1.08% |
Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding HDFC Bank Limited is 'Strong Hold'. Macroaxis provides HDFC Bank buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding HDB positions.
Check out HDFC Bank Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as HDFC and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards HDFC Bank Limited. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in unemployment.
HDFC |
Execute HDFC Bank Buy or Sell Advice
The HDFC recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on HDFC Bank Limited. Macroaxis does not own or have any residual interests in HDFC Bank Limited or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute HDFC Bank's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Above Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Frail | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
HDFC Bank Trading Alerts and Improvement Suggestions
| HDFC Bank Limited generated a negative expected return over the last 90 days | |
| HDFC Bank Limited has high likelihood to experience some financial distress in the next 2 years | |
| HDFC Bank Limited has a frail financial position based on the latest SEC disclosures |
HDFC Bank Returns Distribution Density
The distribution of HDFC Bank's historical returns is an attempt to chart the uncertainty of HDFC Bank's future price movements. The chart of the probability distribution of HDFC Bank daily returns describes the distribution of returns around its average expected value. We use HDFC Bank Limited price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of HDFC Bank returns is essential to provide solid investment advice for HDFC Bank.
| Mean Return | -0.15 | Value At Risk | -2.07 | Potential Upside | 2.04 | Standard Deviation | 1.29 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of HDFC Bank historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
HDFC Bank Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to HDFC Bank or Banks sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that HDFC Bank's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a HDFC stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | -0.1 | |
β | Beta against Dow Jones | 0.56 | |
σ | Overall volatility | 1.29 | |
Ir | Information ratio | -0.04 |
HDFC Bank Volatility Alert
HDFC Bank Limited exhibits very low volatility with skewness of 0.15 and kurtosis of -0.01. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure HDFC Bank's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact HDFC Bank's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.HDFC Bank Fundamentals Vs Peers
Comparing HDFC Bank's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze HDFC Bank's direct or indirect competition across all of the common fundamentals between HDFC Bank and the related equities. This way, we can detect undervalued stocks with similar characteristics as HDFC Bank or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of HDFC Bank's fundamental indicators could also be used in its relative valuation, which is a method of valuing HDFC Bank by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare HDFC Bank to competition |
| Fundamentals | HDFC Bank | Peer Average |
| Return On Equity | 0.15 | -0.31 |
| Return On Asset | 0.0178 | -0.14 |
| Profit Margin | 0.26 % | (1.27) % |
| Operating Margin | 0.39 % | (5.51) % |
| Current Valuation | 4.84 T | 16.62 B |
| Shares Outstanding | 2.55 B | 571.82 M |
| Shares Owned By Institutions | 14.24 % | 39.21 % |
| Number Of Shares Shorted | 19.21 M | 4.71 M |
| Price To Earning | 27.26 X | 28.72 X |
| Price To Book | 2.66 X | 9.51 X |
| Price To Sales | 0.06 X | 11.42 X |
| Revenue | 2.54 T | 9.43 B |
| Gross Profit | 2.7 T | 27.38 B |
| EBITDA | 1.05 T | 3.9 B |
| Net Income | 751.84 B | 570.98 M |
| Cash And Equivalents | 1.05 T | 2.7 B |
| Cash Per Share | 94.18 X | 5.01 X |
| Total Debt | 7.31 T | 5.32 B |
| Debt To Equity | 7.89 % | 48.70 % |
| Book Value Per Share | 657.30 X | 1.93 K |
| Cash Flow From Operations | 190.69 B | 971.22 M |
| Short Ratio | 8.65 X | 4.00 X |
| Earnings Per Share | 3.07 X | 3.12 X |
| Price To Earnings To Growth | 0.97 X | 4.89 X |
| Target Price | 73.65 | |
| Number Of Employees | 213.53 K | 18.84 K |
| Beta | 0.84 | -0.15 |
| Market Capitalization | 153.1 B | 19.03 B |
| Total Asset | 44.12 T | 29.47 B |
| Retained Earnings | 2.92 T | 9.33 B |
| Working Capital | (4.98 T) | 1.48 B |
| Current Asset | 621.06 B | 9.34 B |
| Current Liabilities | 5.6 T | 7.9 B |
HDFC Bank Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as HDFC . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About HDFC Bank Buy or Sell Advice
When is the right time to buy or sell HDFC Bank Limited? Buying financial instruments such as HDFC Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having HDFC Bank in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Business Supplies Thematic Idea Now
Business Supplies
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Business Supplies theme has 24 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Business Supplies Theme or any other thematic opportunities.
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Check out HDFC Bank Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. You can also try the Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of HDFC Bank. If investors know HDFC will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about HDFC Bank listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of HDFC Bank Limited is measured differently than its book value, which is the value of HDFC that is recorded on the company's balance sheet. Investors also form their own opinion of HDFC Bank's value that differs from its market value or its book value, called intrinsic value, which is HDFC Bank's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because HDFC Bank's market value can be influenced by many factors that don't directly affect HDFC Bank's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between HDFC Bank's value and its price as these two are different measures arrived at by different means. Investors typically determine if HDFC Bank is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, HDFC Bank's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.