HDFC Bank to Rebound by FY27, CLSA Predicts 28% Stock Surge

• CLSA maintains an 'outperform' rating on HDFC Bank, setting a price target of ₹1200 per share, a 28% increase from its closing price.
• The brokerage firm anticipates HDFC Bank's share to 'bounce back' significantly in fiscal year 2027.
• HDFC Bank's loan book grew 12% and deposits 11.5% in the October-December 2025 quarter, with LDR increasing to 99%.
• CLSA suggests that current investor concerns are either misconceptions or temporary, making it an opportune time to invest.
• Despite a 5% fall in two weeks, HDFC Bank's market cap is ₹14.41 lakh crore, and it trades at a 10-12% price-to-book discount to ICICI Bank.

Why It Matters: CLSA projects a strong rebound for HDFC Bank by FY27, advising investors to buy due to undervaluation.