While HDFC Bank could be a viable option for investors seeking safer bets on Dalal Street, it would be wiser for them to purchase the stock in installments over the course of the next several months. This is because, according to experts, the stock may remain at current levels in the absence of clear catalysts, even at lower values than its previous levels.

"As the long-term outlook is bullish for the stock, investors looking for quality and safety of margin during all-time highs could park funds in the stock," stated Rajesh Palviya, senior vice president research, technical & derivatives, Axis Securities.

Since HDFC and the bank combined in July 2023, investors have reduced their exposure to the company due to the strain on growth and profitability.

"As the long-term outlook is bullish for the stock, investors looking for quality and safety of margin during all-time highs could park funds in the stock," stated Rajesh Palviya, senior vice president research, technical & derivatives, Axis Securities.

Since HDFC and the bank combined in July 2023, investors have reduced their exposure to the company due to the strain on growth and profitability.

HDFC shares have dropped 0.5% in the last year and 6% so far in 2024, closing at ₹1,595.6 on Friday. With its Friday closing price of 50,002, the Bank Nifty has increased by 3.7% since January and 14.6% over the previous year. ICICI Bank saw a gain of over 20% in the previous year and 10.6% so far this year.

It's possible that this underperformance may persist until the earnings forecast improves. However, the lower values following the stock's lackluster performance on the exchanges are what are sustaining analysts' interest in the shares.