HDFC share price

HDFC Bank Stock Suffers Major Setback: Hits 52-Week Low Amidst Market Turmoil

HDFC Bank shares take a nosedive as market capitalization falls below 11 lakh crore. Find out more here!

HDFC Bank shares have recently been in the spotlight as they plummeted to a 52-week low, causing a stir among investors. The stock breached the previous low of Rs 1460.55, signaling a significant downtrend in its performance. Analysts are closely monitoring the situation as the bank grapples with challenges such as weak deposit growth and liquidity concerns. Despite the downturn, some experts still maintain a positive outlook on the stock, with CLSA retaining a 'Buy' rating and setting a target of Rs 1536.90.

On January 23, HDFC Bank shares continued to spiral downwards, hitting a fresh low of Rs 1425.00 amidst a broader market crash. The banking giant faced a massive wipeout of Rs 1.9 trillion in market capitalization, with a 15% decline in just one week. As the stock struggles to regain its momentum, all eyes are on its next moves and the impact on the overall market sentiment.

Meanwhile, ICICI Bank emerged as a strong contender in the banking sector, outperforming HDFC Bank in terms of earnings growth and operating profit. With a 25% year-on-year growth in earnings for the December 2023 quarter, ICICI Bank has commanded a higher premium compared to its rival. Investors are closely monitoring the competition between these two banking giants and the evolving market dynamics.

In the midst of market volatility, HDFC Bank's performance remains a key focus for analysts and investors alike. The recent challenges faced by the bank have raised questions about its future trajectory and the measures it will undertake to bounce back from the current setback. As the stock price hovers near its lowest levels, the banking sector continues to be a hot topic of discussion in the financial landscape.