The valuation gap between the two major private sector banks – HDFC Bank (post merger of HDFC Ltd) and the ICICI Bank Ltd - may not widen in the short run, said an analyst with LKP Securities.
“Post merger of HDFC and HDFC Bank, we believe, the valuation re-rerating will be delayed factoring margin squeeze,” Ajit Kabi, Banking Analyst at LKP Securities said.
"The impact on the return profile will be keenly watched in the coming period. Hence, in the short run, we don’t see the valuation gap widen between HDFC Bank and ICICI Bank," he added.
According to him, both the banks have performed significantly well since 2-3 years.
“Nevertheless, ICICI Bank has outperformed the sector with improvement in credit quality and growth across verticals. The valuation gap between these two banks have narrowed down,” Kabi said.
Meanwhile the market capitalisation of HDFC Bank on Monday was Rs.9,61,537.76 crore. The face value of the share is Re1 and closed at a price of Rs 1,719.55.
On the other hand, the market capitalisation of ICICI Bank was Rs.6,59,056.25 crore. The face value of its equity share is Rs 2 and the closing price on Monday was Rs 942.
More relief, medical supplies: India continues humanitarian aid to Myanmar
In a heartwarming gesture, Myo Aung, the Chief Minister of Mandalay, visited the facility, witnessing first hand the compassionate care being extended. The Indian Army shared this on X on Tuesday with a few photos.
India, Thailand bilateral trade ties set to strengthen during PM Modi's visit
The recent years saw increased investment from Thailand in India in infrastructure, real estate, agro processing, electronics, automotive, food processing sectors, the hotel hospitality sector and the renewable energy sector.
Uproar in Lok Sabha as SP leads Oppn protest over Waqf Bill
The four-day last leg of Parliament Budget Session 2025 kicked off on an acrimonious note on Tuesday with Opposition MPs forcing an adjournment in the Lok Sabha amid protests led by Samajwadi Party members over the Waqf (Amendment) Bill.
PM Modi and Chilean President hold bilateral talks at Hyderabad House
Prime Minister Narendra Modi on Tuesday met Chilean President Gabriel Boric Font at the Hyderabad House, where the two leaders discussed ways to enhance bilateral engagement across economic, commerce and societal domains.
EAM Jaishankar, Chilean Prez Boric discuss long-standing bilateral ties
External Affairs Minister (EAM) S. Jaishankar on Tuesday held talks with Chilean President Gabriel Boric Font and discussed ways to strenghthen long-standing bilateral ties.
Bengal illegal factory blast: Death toll rises to 8, owners absconding
The police have started a massive search operation at Patharpratima and its adjacent areas to track the two owners of the illegal firecracker factory, Chandrakanta Banik and Tushar Banik, who have gone absconding since the blast took place at around 10 p.m. on Monday.
Commercial LPG cylinder prices cut by Rs 41 in relief for businesses
In a big relief for industries and businesses that rely heavily on cooking fuel, oil marketing companies on Tuesday announced a price cut of Rs 41 on commercial LPG gas cylinders (19 kilograms).
Yunus statement on northeastern states offensive, condemnable: Assam CM Sarma
Assam Chief Minister Himanta Biswa Sarma on Tuesday said the statement of Bangladesh interim government’s chief advisor Muhammad Yunus regarding the seven states of northeast is offensive and condemnable.