HDFC Bank m-cap surges past Rs 8-trillion mark; stock jumps 1.76%

The market capitalisation of HDFC Bank went past Rs 8 trillion in early trade on Wednesday, making it the first domestic lender to achieve the feat. The private lender’s market valuation rose to Rs 8,05,742 crore on BSE before ending below the mark at Rs 7.72 trillion.

HDFC Bank, which is at number three position in overall market-cap ranking of listed companies, has become the first lender to achieve the milestone.

Shares of HDFC Bank jumped 1.76 per cent to its one-year high of Rs 1,464 on BSE. So far, this year, HDFC Bank shares have gained 15.11 per cent.

At present, Reliance Industries leads the pack with Rs 13.34 trillion market-cap, followed by Tata Consultancy Services with Rs 10.19 trillion market-cap, data shows.

Hindustan Unilever is fourth with Rs 5.08 trillion market-cap, followed by Infosys with Rs 4.83 trillion market-cap, BSE data shows.

In the past month, HDFC Bank has outperformed the market by gaining 17 per cent, against 10 per cent rise in the S&P BSE Sensex.

In three months, the private sector lender's stock has rallied 30 per cent, as compared to 15 per cent gain in the benchmark index.

In the July-September quarter (Q2FY21), HDFC Bank reported strong results with net profit growing 18.4 per cent year-on-year at Rs 7,513 crore on the back of substantial growth in interest earnings and other income.

Net interest income (NII) of the bank for Q2FY21 grew 16.7 per cent year-on-year at Rs 15,776 crore, driven by asset growth of 21.5 per cent and a core interest margin for the quarter of 4.1 per cent. On asset front, gross non-performing assets of the bank fell to 1.08 per cent of the gross advances as on September 30, 2020, as against 1.38 per cent a year earlier. Likewise, net non-performing assets, too, came down to 0.17 per cent from 0.42 per cent.