Archive · 5 Oct 2026
HDFC Bank Q2 Growth and Bagchi Appointment Lift Emkay Outlook
HDFC Bank said its loans and deposits grew in the three months ending in September 2026.
Deposits grew faster than loans compared with the same period a year earlier.
The bank also has a new chief executive: Anup Bagchi.
The Reserve Bank of India approved him for a three-year term starting October 27, 2026.
Emkay, a brokerage, kept its Buy rating on the bank's shares.
It set a target price of Rs 1,225, which the article describes as about 70% above the current price.
Emkay thinks the leadership change may help reduce uncertainty and support confidence.
It also says future performance depends on priorities such as deposit growth, technology, and stronger processes.
HDFC Bank reported year-on-year growth in both loans and deposits in the September 2026 quarter.
Period-end advances under management rose 15.3% to about Rs 3,30,750 crore, while gross advances increased 16.3%.
Total period-end deposits grew 18.8% to about Rs 3,32,750 crore; period-end CASA deposits rose 10.8%.
The Reserve Bank of India approved Anup Bagchi as HDFC Bank's managing director and chief executive for a three-year term beginning October 27, 2026.
Emkay retained its Buy rating and Rs 1,225 target price, which the article says implies about 70% upside; the target depends on execution and other factors.
- Who
- HDFC Bank, Anup Bagchi, the Reserve Bank of India, and brokerage Emkay Global Financial Services.
- What
- HDFC Bank reported Q2 loan and deposit growth, while Bagchi was approved as its next managing director and chief executive; Emkay retained its Buy rating and Rs 1,225 target price.
- When
- The business update covered the quarter ending September 2026. Bagchi's three-year term is scheduled to begin October 27, 2026; the RBI approval was announced October 1.
- Where
- HDFC Bank; the article does not specify a location for the reported business update.
- Why
- Emkay said the appointment could ease management-transition uncertainty and help restore confidence; it cited growth prospects and valuation in its investment view.
Emkay's investment case
Conditions and risks noted
Share-price outlook
Emkay's investment case
Emkay retained its Buy rating and Rs 1,225 target, arguing that valuation and progress in deposit and credit growth could support a re-rating.
Conditions and risks noted
The article says a sustained re-rating depends on delivering business priorities; foreign portfolio investor flows and geopolitical uncertainty could also affect the stock.
Leadership transition
Emkay's investment case
Emkay said Bagchi's appointment could ease succession uncertainty and help restore investor and customer confidence.
Conditions and risks noted
The article says management will still need to focus on stability, deposit growth, branch productivity, technology, and stronger processes, including addressing past mis-selling instances.
- Average advances under management
- Rs 3,18,720 crore, up 14% year-on-year
- Period-end advances under management
- About Rs 3,30,750 crore, up 15.3% year-on-year
- Gross advances
- About Rs 3,21,950 crore, up 16.3% year-on-year
- Average deposits
- Rs 3,16,650 crore, up 16.8% year-on-year
- Total period-end deposits
- About Rs 3,32,750 crore, up 18.8% year-on-year
- Bagchi's appointment
- Three-year term starting October 27, 2026, following RBI approval
- Emkay rating and target
- Buy rating; target price Rs 1,225, described in the article as implying about 70% upside