HDFC Bank Ltd. share price target

Steady quarter; 20%+ earnings compounding continues on a higher base HDFC Bank's (HDFCB) 1QFY17 PAT grew 20% YoY (in line with expectations) to INR32.4b on the back of healthy core PPoP growth (+22% YoY). Key highlights for the quarter were: a) margin improvement (+10bp QoQ to 4.4%); b) stable C/I ratio (45%); c) strong retail loan growth (+25% YoY, +3% QoQ); and d) moderation in fee growth (15.5% YoY), which led to a decline in the fee/average assets ratio to 1.1%, the lowest level in 50 quarters. Strong growth in retail loans was led by home loans (+25% YoY, +5.5% QoQ)...

HDFC Bank is comfortably placed to capitalise on the expected improvement in the economic cycle. The Bank has been consistently outperforming its peers on both financial and operational fronts backed by strong liability franchise, low exposure to stressed sectors and superior risk management practices. We expect that the Bank would carve out credit growth of over 25% in FY17-18E with stable NIMs resulting into earnings growth of ~21% CAGR over FY16-18E. We reiterate our BUY recommendation on the stock with a revised...

ICICI Securities Ltd | Retail Equity Research Asset quality remained resilient with GNPA and NNPA ratios declining 3 bps and 1 bps QoQ to 0.94% and 0.28%, respectively, led by...

HDFC Bank's advances grew (27.1%YoY, 6.4%QoQ) to INR 4.64tn in 4QFY16. Growth in advances was driven by retail (29.6%YoY, 4.2%QoQ) and non-retail advances continued its momentum growing (25.0%YoY, 8.5%QoQ), largely driven by emerging corporate book....

NIM. Noninterest income growth moderate at 11.8%yoy led by 18% growth in fee income,evenasforexincomedeclined14%yoy. Whileslippagesincreasedmarginallyto17bnfromRs15.5bninQ3,inpercentageterms...

NIM. Noninterest income growth moderate at 11.8%yoy led by 18% growth in fee income,evenasforexincomedeclined14%yoy. Whileslippagesincreasedmarginallyto17bnfromRs15.5bninQ3,inpercentageterms...

UltraTech Cement (UltraTech)s 3QFY2016 numbers have come in better than our expectations on the top-line and operational fronts. The companys net sales rose by 4.7% yoy to Rs5,747cr, aided by better than expected volume growth of 7.1% yoy. Blended realization was under pressure, down by 2.3% yoy, and was slightly lower than our estimate. The EBITDA increased by 23% yoy to Rs1,044cr and the same was above our estimate of Rs975cr. The EBITDA margin came in at 18.2%, also above our estimate of 17.3%, backed by strong operational efficiency. The PAT came in at Rs509cr, up 39.6% yoy, which is above our estimate of Rs435cr, driven by margin expansion. EBITDA margin healthy at 18.2%: For 3QFY2016, UltraTech reported an EBITDA growth of 23% yoy to Rs1,044cr, as against our estimate of Rs975cr. The strong EBIDTA performance was led by operational efficiency. The operating cost/tonne declined by 4.6% yoy to Rs4,055, led by 13.9% yoy decline in power & fuel cost/tonne, largely due to softening pet coke prices. Higher pet coke usage at 74% vs 65% in the sequential previous quarter helped savings in power & fuel cost. The EBITDA margin increased by 280bp yoy to 18.2% and was above our...

NII (up 21%) was marginally above expectation, led by strong loan growth and stable NIM.Noninterestgrowthwasmoderate(+13%)duetoweaknessinfeeincomegrowth (+11%) which in turn was because of a change in mix of thirdparty distribution...