HDFC, HDFC AMC rise up to 3% after Morgan Stanley maintains 'overweight'

So far in the fiscal year 2019-20, the stocks have outperformed the benchmark. While HDFC has surged 17 per cent, HDFC AMC has zoomed 134 per cent till Tuesday.

Shares of HDFC gained up to 2.1 per cent to Rs 2,352.8 on the BSE in the morning deals on Wednesday after global brokerage firm Morgan Stanley raised its target price to Rs 2,900 from Rs 2,600 on the back of structurally stronger position of the housing finance company.

Besides, Morgan Stanley also maintained the 'overweight' stance on sister-company HDFC Asset Management Company (AMC), with a target price of Rs 3,365, based on 40x P/E multiple. The stock touched an intra-day high of Rs 3688.2, up 2.6 per cent on the BSE.

As per reports, the brokerage firm believes that