HDFC Bank Shares Drop After Weak Quarterly Update

HDFC Bank's stock fell over 4% on Friday, erasing Rs 53,000 crore from its market value, following a weak June quarter business update. The bank's loan and deposit growth were lower than expected, with loans declining 0.8% sequentially and deposits growing only 15.3% year-on-year. The CASA ratio also dropped. Nomura India maintained a neutral rating with a target price of Rs 1,660, citing gradual balance sheet correction. Despite these challenges, MOFSL still recommends buying the stock.

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