HDFC Bank Share Price Gains 3% Post Q2 Results:

Limited shares advanced 3.2% during trading to emerge among the top gainers on the Nifty 50 following the release of its financial performance for the second quarter. The private sector lender reported a 4.7% year-on-year increase in profit after tax to ₹19,510 crore, alongside a 9.7% rise in net interest income to ₹34,620 crore. Investor sentiment was further boosted by broader market gains and improving asset quality metrics during the quarter. The bank's asset quality showed notable improvement, with the gross non-performing asset ratio declining to 1.11% from 1.17% in the previous quarter. Meanwhile, net interest margins stood at 3.16% on total assets. Despite these positive developments, the stock has experienced significant correction over the past year, falling around 27% and trading well below its 52-week high before showing recent signs of base formation and buying interest at lower levels. Major global brokerages maintained a positive stance on the counter despite lingering concerns over subdued near-term earnings growth and margin pressures. Bernstein maintained an 'Outperform' rating with a target price of ₹1,150, pointing to healthy balance-sheet expansion and resilient asset quality, while JPMorgan retained an 'Overweight' call with a target price of ₹970. Analysts noted that potential repo rate adjustments and shifts toward higher-yielding retail loans could support margin recovery in subsequent quarters.