HDFC Bank declines after hitting all-time highs for past 2 sessions: Should you buy, sell or hold?

HDFC Bank share amid improving fundamentals has been gaining for the past 4 sessions and in this run-up have hit all-time highs for two consecutive days. On the previous day, after hitting a record high of Rs 1,865 per share ended nearly 2 per cent higher at Rs 1,860.05 per share.

In Thursday's trade, however, HDFC Bank shares fell 0.5 per cent lower to the day's low price of Rs 1,850 per share on the BSE.

After a run-up for the 4 consecutive days, the stock gained 4 per cent and in the last one month has surged as much as 9 per cent against Nifty's gain of nearly 2 per cent during the same time.

Global brokerage in its recent review of the stock while maintaining a neutral call on the stock has raised the target to Rs 1,750 from the earlier Rs 1,700. This implies a cut of nearly 6 per cent from the last close.

The brokerage said that bad macro is good for the stock micro and it deems the stock as a 'safe haven'. However going ahead in FY26, the brokerage said that with improving macros, the stock may end up giving up gains. 

Think growth will be the main constraint to solve, said the brokerage.

Hence within large cap privates we prefer ICICI bank/Kotak Mahindra Bank, added JP Morgan.

Chokkalingam, Founder-Equinomics considering HDB Financial Services IPO likely in due course is bullish on HDFC Bank. This is as it will unlock the country's leading lender's value through public issue of its financial services subsidiary and this will provide some significant short term trigger for the stock, added the expert.

HDFC Bank share price performance 

In the past one year, the stock has gained 15 per cent, while Nifty50 during the same time has gained 18 per cent.