THIS bank stock to give great returns? Check analysis, price

Brokerage firm Motilal Oswal has high expectations from the country's largest private bank, HDFC. It has given a buy rating on its shares and a big target for the share

On Friday, February 21, HDFC's share closed at ₹1,690, up by 0.17%

Motilal Oswal has advised to buy HDFC Bank shares. The target price for this share for the long term is ₹2,050. According to this, the share can give a return of up to 21%

The bank's strategy is now to earn profit. The bank's focus is on controlling the credit-deposit ratio and investing in high-return sectors

The bank's net interest margin is under pressure, but management believes it will improve by FY27. The bank is replacing expensive borrowing with deposits

HDFC's net profit in the third quarter was ₹16,736 crore, up 2.2% year-on-year. NII increased by 8% year-on-year to ₹30,690 crore

According to Motilal Oswal, HDFC is working on a strategy to add customers and build long-term relationships. The bank has decided to reduce expensive deposits

The brokerage says that the bank's CASA ratio has fallen to 34%, but management expects it to improve. There is an expectation of an annual increase of 15% in deposits in FY25-27

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