HDFC Bank Ltd on Thursday crossed $100 billion market capitalization in intraday trading, becoming only the third company in the country to achieve this milestone.
However, it closed below the $100 billion mark at $99.5 billion. It is now in the league of Reliance Industries Ltd, which has a market value of $140.74 billion, and Tata Consultancy Services Ltd that has a market capitalization of $114.60 billion. It now ranks 110th in the world’s most valued firms.
HDFC Bank ranks 26th among most valued banks and financial companies around the world that have a market capitalization of more than $100 billion.
Investors continued to buy the stock in the hope that the lender would report consistent earnings performance, steady 20% profit growth, stable asset quality and healthy advances growth.
With its capital well above regulatory requirements and higher retail focus, analysts expect HDFC Bank to deliver strong credit growth going forward. Also higher focus on productivity and digitization along with cost rationalization is likely to result in better profitability growth, analysts said.
Among analysts covering the stock, 50 have a “buy", five have a “hold", while one has a “sell" rating, according to the Bloomberg data.
The stock closed at ₹1,288.45 on BSE, down 0.30% from its previous close, while the Sensex rose 0.30% to close at 41,673.92 points.