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HDFC Bank drops on profit taking

Capital Market / 12:20 , Mar 12, 2010

HDFC Bank declined 1.80% to Rs 1,795 at 12:18 IST on BSE, on profit booking after strong recent gains.

The bank's American depository receipt, or ADR, fell 0.15% to $132.61 on the New York Stock Exchange on Thursday, 11 March 2010.

Meanwhile, the BSE Sensex was up 11.64 points, or 0.07% to 17,179.60.

On BSE, 27,821 shares were traded in the counter as against an average daily volume of 1.12 lakh shares in the past one quarter.

The stock hit a high of Rs 1832 and a low of Rs 1793 so far during the day. The stock had hit a lifetime high of Rs 1836 on 8 December 2009 and a 52-week low of Rs 791 on 12 March 2009.

The stock had risen 16.67% during a period of a little over a month to Rs 1827.85 on Thursday, 11 March 2010 from a recent low of Rs 1566.65 on 8 February 2010.

The large-cap bank stock had outperformed the market over the past one month till 11 March 2010, gaining 14.54% as compared to the Sensex's 6.29% rise. It had also outperformed the market in the past one quarter, rising 2.50% as compared to the Sensex's return of 0.29%.

The bank's equity capital is Rs 456.98 crore. Face value per share is Rs 10.

The current price of Rs 1795 discounts the bank's Q3 December 2009 annualized EPS of Rs 71.92, by a PE multiple of 24.96.

HDFC Bank's net profit rose 31.6% to Rs 818.50 crore on a 9.6% decline in operating income to Rs 4887.82 crore in Q3 December 2009 over Q3 December 2008.

HDFC Bank's gross non-performing assets (NPA) rose 3.28% to Rs 1974.11 crore in Q3 December 2009 over Q3 December 2008. The bank's net NPA fell 11.45% to Rs 544.01 crore in Q3 December 2009 over Q3 December 2008. The ratio of gross NPAs decreased to 1.63% as on 31 December 2009 from 1.91% as on 31 December 2008. The net NPAs as of 31 December 2009 was at 0.5%, slightly lower than 0.6% as of 31 December 2008.

HDFC Bank offers a wide range of services to the global corporate sector. The bank provides corporate banking and custodial services and is active in the treasury and capital markets. HDFC Bank also markets project advisory services and capital market products such as Global deposit receipts, Euro currency loans, and Euro currency bonds.

 



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