HDFC Bank Share Price Set For Breakout With An Upside Of Up To 38%, Says CLSA
HDFC Bank’s stock price is expected to have a breakout in its stock price with an upside of 35% to 38%, according to Laurence Balanco, technical analyst at CLSA.
What Happened: In the note, Balanco said he has been closely monitoring HDFC Bank as the stock appears to be on the verge of a breakout. The stock has been in the trading range that has been in place since the beginning of 2021.
This range is been defined by resistance levels at ₹1,717 and ₹1,734 and support levels at ₹1,240 and ₹1,245. Closing above this resistance level marks a major bullish event, which will end a period of over two years of ranging price action.
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The breakout from this range suggests an upside target of ₹2,373, the analyst added.
On Tuesday, global brokerage firm Bernstein maintained its “outperform” call on the stock with a target price of ₹2,100. The brokerage expects the bank’s return on assets to improve from 1.8% to 2.1% over the next four years.
The recent surge in the bank’s stock has taken its market cap above ₹13 lakh crore since January 2024.
Price Action: Shares of HDFC Bank were down 0.67% at ₹1,690.10 on Thursday morning.
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