Shares of HDFC Bank extended their previous session's decline, falling over 7% in two days and wiping out Rs 89,636 crore from its market valuation, after the lender's quarterly earnings disappointed on the margin front.
Key Highlights
- The market value of the HDFC Bank's fell Rs 90,000 crore over two trading sessions.
- Investor sentiment fell as HDFC Bank shares fell heavily.
Stock Slides Across Both Sessions
It dipped 2.08% to Rs 761.45 on the BSE. During the day, it slipped as much as 2.25% to Rs 760.10. At the NSE, the stock also dipped 2.08% to end at Rs 761.45. The shares of HDFC bank were down more than 5% on Monday and have fallen by 7.10% in two days wiping out ₹89,635.73 crore from the valuation of the blue chip stock.
The HDFC Bank index was down for two straight days. The 30-share BSE Sensex declined 238.41 points, or 0.31%, to settle at 77,470.11, while the 50-share NSE Nifty edged lower by 50.80 points, or 0.21%, to end at 24,187.70.
Also Read: HDFC Bank and ICICI Bank Q4 FY26 Results: Who Leads in Performance?
What Went Wrong?
Market experts, however, feel that the Net Interest Margins (NIM) performance of HDFC Bank was a major disappointment as it seems to have taken a back-seat to an otherwise impressive headline earnings growth.
The standalone net profit of HDFC Bank rose 5% to Rs 19,060 crore in the quarter ended on June 30, the bank said Saturday. The country's largest private sector lender, in fact, made a net profit of Rs 18,155 crore in the previous year and the market has reacted negatively to the bottom line of the balance sheet, rather than the growth in the topline.
