# HDFC Bank (HDB.US)

Canonical: https://gigainvestors.com/s/HDB

Analysis as of: 2026-10-16T07:29:18.600Z. Financial observations: FY2016–FY2026.

Listing currency: USD. Reporting currency: INR.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: $23.53 per share; close as of 2026-10-15.

Estimated value: low $11.06 per share, central $13.83 per share, high $18.44 per share. Buy at or below the central value $13.83 per share. Valuation as of 2026-10-16T07:29:18.600Z; scenarios are not confidence intervals.

Expected annual return: 8.4% at the stated quote. About 8.4% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; US 10-year bond 5.1% + 4 points).

## Checklist

### understandable: pass

- Financial history: 10 years

- Profitable years in the last ten: 10

- Required profitable years: 9

- Return on common equity variation (informational): 0.17×

Chart: Net income; fiscal year observations.

- FY2017: INR 152B

- FY2018: INR 185B

- FY2019: INR 223B

- FY2020: INR 273B

- FY2021: INR 318B

- FY2022: INR 381B

- FY2023: INR 460B

- FY2024: INR 641B

- FY2025: INR 708B

- FY2026: INR 800B

### moat: pass

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- Bank / P&C ROTE, median of available years: 15.8%

- Required median return: 12.0%

- Return uses tangible common equity: Yes

- Bank ROTE, second-lowest year: 15.0%

- Cost / income, median: 38.9%

- Years with reported combined ratio: 0

Chart: Return on tangible common equity; fiscal year observations.

- FY2017: 16.0%

- FY2018: 16.8%

- FY2019: 14.3%

- FY2020: 15.0%

- FY2021: 15.3%

- FY2022: 15.7%

- FY2023: 16.2%

- FY2024: 16.3%

- FY2025: 15.1%

- FY2026: 28.9%

### economics: pass

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- Book value per share + reinvested dividends, annualized return: 8.8%

- Book return interval: 10 years

- Starting book value per share: INR 312.08

- Ending book value per share: INR 537.46

Chart: Annual book + dividend return; fiscal year observations.

- FY2017: 22.0%

- FY2018: -41.3%

- FY2019: 40.4%

- FY2020: 19.0%

- FY2021: 14.3%

- FY2022: 17.4%

- FY2023: 19.8%

- FY2024: 11.1%

- FY2025: 14.4%

- FY2026: -5.0%

### management: fail

- Tangible common book per share

- Parent-total proxy for preferred equity and common earnings

- book per share gain below retained common earnings per share

- Diluted shares, 10-year annual growth: 7.3%

- Diluted shares, 5-year annual growth: -1.4%

- Share growth excluding flagged crisis recapitalisations: 7.3%

- Five-year share growth excluding flagged crisis recapitalisations: -1.4%

- Flagged crisis recapitalisations: 0

- Book created / earnings retained after dividends and buybacks: 0.38×

- Book value created per share: INR 225.38

- Earnings retained per share after dividends and buybacks: INR 596.61

Chart: Shares (first year = 100); fiscal year observations.

- FY2016: 100

- FY2017: 101

- FY2018: 205

- FY2019: 213

- FY2020: 216

- FY2021: 217

- FY2022: 219

- FY2023: 220

- FY2024: 279

- FY2025: 301

- FY2026: 202

### accounting: fail

- credit provisions persistently exceed same-year peers

- Financial accounting warning count: 1

- Known restatement years: 0

- Years loan growth exceeded twice deposit growth: 0

- Years credit losses exceeded peer median: 7

## Holders

- [John Rogers](https://gigainvestors.com/AI): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Sarah Ketterer](https://gigainvestors.com/CAU): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [David Hoeft](https://gigainvestors.com/DAC): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Richard Pzena](https://gigainvestors.com/PIM): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Mason Hawkins](https://gigainvestors.com/SE): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 39% since Jul 2025 · "HDFC Bank Hits 30-Month Low as CEO Exit Deepens Overhang" (finance.yahoo.com, Sep 2026) · net income +13%

Story as of 2026-10-16T09:58:52.214Z; price observation 2026-10-15.

The price is 4.6 times annual sales

- 2025-04-15: India's HDFC Bank hits four-month high as deposit rate cut seen lifting margins ([sg.finance.yahoo.com](https://sg.finance.yahoo.com/news/indias-hdfc-bank-hits-four-084724842.html))

- 2026-04-18: India's HDFC Bank beats profit estimates on strong loan growth ([sg.finance.yahoo.com](https://sg.finance.yahoo.com/news/indias-hdfc-bank-beats-profit-102417974.html))

- 2026-07-13: HDFC Bank cuts over 3,300 jobs amid technology-led transformation ([seekingalpha.com](https://seekingalpha.com/news/4613095-hdfc-bank-cuts-over-3300-jobs-amid-technology-led-transformation?utm_source=feed_news_all&utm_medium=referral&feed_item_type=news))

### Net income · FY2026

net income +13%; source https://www.sec.gov/Archives/edgar/data/1144967/000119312526322004/d88195d20f.htm; observed 2026-07-29.

- FY2017: INR 152B 

- FY2018: INR 185B 

- FY2019: INR 223B 

- FY2020: INR 273B 

- FY2021: INR 318B 

- FY2022: INR 381B 

- FY2023: INR 460B 

- FY2024: INR 641B 

- FY2025: INR 708B 

- FY2026: INR 800B 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in regional banking; annual sales are INR 2.5 trillion.

- Source: https://www.sec.gov/Archives/edgar/data/1144967/000119312526322004/d88195d20f.htm#000119312526322004 (filed 2026-07-29); FY2026: revenue 2495617500000.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); HDB.US: HDFC Bank Limited provides banking and financial products and services to individuals and businesses in India, Bahrain, Hong Kong, Singapore, and Dubai. The company operates through Treasury, Retail Banking, Wholesale Banking, Other Banking Business, Insurance Business, and Other segments. It offers savings, salary, current, rural, public provident fund, pension, and demat accounts; fixed and recurring deposits; and safe deposit lockers, as well as offshore accounts and deposits, and overdrafts against fixed deposits. The company also provides personal, home, car and pre owned car, marriage, two-wheeler, business, doctor, educational, gold, consumer, and rural loans; loans against properties, securities, mutual funds, and car; loans for professionals; government sponsored programs; and loans on credit card, as well as working capital, term loans, supply chain management, project finance, export finance, commercial vehicle / equipment finance, tractor finance, infrastructure, and agriculture finance. In addition, it offers credit, debit, prepaid, forex, and kisan gold cards; payment and collection, export, import, remittance, bank guarantee, letter of credit, trade, hedging, and merchant and cash management services; and insurance and investment products. Further, the company provides short term finance, bill discounting, structured finance, export credit, loan repayment, custodial, and documents collection services; online, mobile, and phone banking services; unified payment interface, immediate payment, national electronic funds transfer, and real time gross settlement services; channel financing, vendor financing, money market, derivatives, employee trusts, cash surplus corporates, tax payment, and bankers to rights/public issue services; and financial solutions for supply chain partners and agricultural customers. It operates branches and automated teller machines in various cities/towns. The company was incorporated in 1994 and is headquartered in Mumbai, India.

### Why customers stay

It earns 15.8% on shareholders’ money, excluding intangible assets.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-29); 10-year return on tangible equity observations [[2017,0.16008153704441436],[2018,0.16839163275716057],[2019,0.14337374603357625],[2020,0.1498998049934975],[2021,0.15269993315554514],[2022,0.15660209132020014],[2023,0.162117904622723],[2024,0.16335273384891077],[2025,0.151378666413657],[2026,0.2893279700281547]]; median 0.15834181418230725. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 10 of 10 years.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-29); Dividend observations: [[2017,29280900000],[2018,34490300000],[2019,41015200000],[2020,66305900000],[2021,166600000],[2022,36239200000],[2023,86394300000],[2024,86617100000],[2025,158058100000],[2026,217870133000]]. Zero only counted when supported by a complete cash-flow statement.

### Are managers owners

Insiders own 0% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); HDB.US SharesStats.PercentInsiders = 0 percentage points; cache date 2026-10-16.

### What the price says

The price is 4.6 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-07-29); Closing price 23.53 USD; reporting-to-trading FX 0.01054; FY2026 annual sales per share 485.12577783160253; price multiple 4.601791782360702. FY2026 cash earnings/share 155.54629899797231. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2016-11: $16.13 per share

- 2016-12: $15.17 per share

- 2017-01: $17.23 per share

- 2017-02: $17.92 per share

- 2017-03: $18.81 per share

- 2017-04: $19.90 per share

- 2017-05: $21.95 per share

- 2017-06: $21.74 per share

- 2017-07: $24.19 per share

- 2017-08: $24.36 per share

- 2017-09: $24.09 per share

- 2017-10: $23.08 per share

- 2017-11: $24.27 per share

- 2017-12: $25.42 per share

- 2018-01: $27.15 per share

- 2018-02: $24.30 per share

- 2018-03: $24.69 per share

- 2018-04: $23.95 per share

- 2018-05: $26.60 per share

- 2018-06: $26.25 per share

- 2018-07: $25.83 per share

- 2018-08: $25.32 per share

- 2018-09: $23.52 per share

- 2018-10: $22.23 per share

- 2018-11: $25.35 per share

- 2018-12: $25.90 per share

- 2019-01: $24.56 per share

- 2019-02: $25.28 per share

- 2019-03: $28.98 per share

- 2019-04: $28.66 per share

- 2019-05: $31.04 per share

- 2019-06: $32.51 per share

- 2019-07: $28.75 per share

- 2019-08: $26.95 per share

- 2019-09: $28.52 per share

- 2019-10: $30.55 per share

- 2019-11: $30.88 per share

- 2019-12: $31.68 per share

- 2020-01: $28.64 per share

- 2020-02: $27.42 per share

- 2020-03: $19.23 per share

- 2020-04: $21.67 per share

- 2020-05: $20.92 per share

- 2020-06: $22.73 per share

- 2020-07: $23.38 per share

- 2020-08: $24.80 per share

- 2020-09: $24.98 per share

- 2020-10: $28.72 per share

- 2020-11: $34.50 per share

- 2020-12: $36.13 per share

- 2021-01: $36.05 per share

- 2021-02: $39.57 per share

- 2021-03: $38.85 per share

- 2021-04: $35.14 per share

- 2021-05: $38.26 per share

- 2021-06: $36.56 per share

- 2021-07: $35.28 per share

- 2021-08: $39.15 per share

- 2021-09: $36.54 per share

- 2021-10: $35.96 per share

- 2021-11: $32.74 per share

- 2021-12: $32.53 per share

- 2022-01: $34.31 per share

- 2022-02: $31.08 per share

- 2022-03: $30.67 per share

- 2022-04: $27.60 per share

- 2022-05: $28.78 per share

- 2022-06: $27.48 per share

- 2022-07: $31.40 per share

- 2022-08: $30.52 per share

- 2022-09: $29.21 per share

- 2022-10: $31.16 per share

- 2022-11: $35.28 per share

- 2022-12: $34.21 per share

- 2023-01: $33.68 per share

- 2023-02: $33.82 per share

- 2023-03: $33.33 per share

- 2023-04: $34.90 per share

- 2023-05: $32.20 per share

- 2023-06: $34.85 per share

- 2023-07: $34.14 per share

- 2023-08: $31.16 per share

- 2023-09: $29.50 per share

- 2023-10: $28.27 per share

- 2023-11: $30.02 per share

- 2023-12: $33.56 per share

- 2024-01: $27.75 per share

- 2024-02: $26.75 per share

- 2024-03: $27.99 per share

- 2024-04: $28.80 per share

- 2024-05: $28.94 per share

- 2024-06: $32.17 per share

- 2024-07: $30.00 per share

- 2024-08: $30.56 per share

- 2024-09: $31.28 per share

- 2024-10: $31.51 per share

- 2024-11: $33.38 per share

- 2024-12: $31.93 per share

- 2025-01: $30.32 per share

- 2025-02: $30.81 per share

- 2025-03: $33.22 per share

- 2025-04: $36.35 per share

- 2025-05: $37.69 per share

- 2025-06: $38.33 per share

- 2025-07: $38.38 per share

- 2025-08: $35.58 per share

- 2025-09: $34.16 per share

- 2025-10: $36.22 per share

- 2025-11: $36.82 per share

- 2025-12: $36.54 per share

- 2026-01: $32.38 per share

- 2026-02: $31.85 per share

- 2026-03: $24.88 per share

- 2026-04: $25.41 per share

- 2026-05: $23.78 per share

- 2026-06: $25.83 per share

- 2026-07: $23.93 per share

- 2026-08: $22.70 per share

- 2026-09: $22.34 per share

- 2026-10: $22.76 per share

## Annual estimated value (USD per share)

- FY2017: low $6.89 per share, central $8.61 per share, high $11.48 per share

- FY2018: low $4.23 per share, central $5.28 per share, high $7.05 per share

- FY2019: low $5.78 per share, central $7.23 per share, high $9.64 per share

- FY2020: low $6.64 per share, central $8.30 per share, high $11.06 per share

- FY2021: low $7.67 per share, central $9.58 per share, high $12.78 per share

- FY2022: low $8.87 per share, central $11.09 per share, high $14.79 per share

- FY2023: low $10.32 per share, central $12.89 per share, high $17.19 per share

- FY2024: low $11.21 per share, central $14.01 per share, high $18.68 per share

- FY2025: low $11.89 per share, central $14.87 per share, high $19.82 per share

- FY2026: low $11.05 per share, central $13.82 per share, high $18.42 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 20-F filing](https://www.sec.gov/Archives/edgar/data/1144967/000119312526322004/d88195d20f.htm); period 2026-03-31, filed 2026-07-29.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.