FM's bounty on corporate tax props up sentiment for HDFC Bank stock

The bank remains the most recommended 'buy' in the sector; analysts turn watchful on its retail exposure

HDFC Mutual Fund's market debut to bring a windfall for key employees

After a brief spell of underperformance, the HDFC Bank stock touched its all-time high of Rs 1,285, on Monday. This followed the recent bounty from the government, which propped up sentiment for the private lender. It has gained over 14 per cent since last Friday, when corporation tax rates were slashed. HDFC Bank, which has an average tax payout of 34 per cent, stands to benefit. Analysts at Jefferies expect this relief to bump up net profit of banks in the range of 11-15 per cent, from FY21.  However, these gains could be pronounced in the ...