The share price of HDFC Bank gained over 2 per cent to hit a fresh 52-week high of Rs 1,436.00 in the early trade on Tuesday after the global brokerage CLSA maintained its positive view on the stock and raised the target price.
The firm retained its buy rating and raised the target from Rs 1,525 to Rs 1,700 per share. The research firm is of the view that the macro-environment has improved after lockdown, adding that the better use of data analytics is leading to lower retail stress against PAT cycles.
The shares were trading at Rs 1,435.00, up to Rs 40.40, or 2.90 percent at 11:00 hours (IST). It has touched an intraday high of Rs 1,436.00 and an intraday low of Rs 1,402.05.
The brokerage is of the view that the macro environment has improved materially after lockdown, and that coupled with better use of data, analytics, and bureau to underwrite is leading to lower retail stress versus past cycles.
“The bank’s CEO transition has been smooth and the bank continues to work on its five-pillar strategy to drive growth targeting newer geographies/ecosystems and the bank is redefining systems/processes, and hence in the medium term Opex efficiency still has room to improve,” CLSA said in a note.