HDFC Bank shares extend decline post 1:1 bonus; analysts divided on outlook
HDFC Bank: The stock shed 0.08 per cent to close at Rs 950.80, marking a 5.50 per cent fall over the past month.
- Sep 1, 2025,
- Updated Sep 1, 2025 6:35 PM IST
Shares of HDFC Bank Ltd, which turned ex-bonus in a 1:1 ratio on August 26, continued to slip on Monday. The stock shed 0.08 per cent to close at Rs 950.80, marking a 5.50 per cent fall over the past month.
The bonus issue entitled shareholders to one additional equity share for every share held. The move was aimed at enhancing liquidity and boosting retail participation.
Some analysts noted that the stock's fundamentals remain unchanged after the corporate action.
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, said the stock looks attractive after the bonus issuance. He suggested investors may consider buying at current levels and on dips with a long-term view.
"For retail investors, the price gets more affordable but fundamentals actually don't change. HDFC Bank, as a fundamental stock, will see things get better down the road. Aggressive growth may take a little more time, but these are the times when you should be buying blue chips like HDFC, which have proven to be strong growth stories over the long run," stated Vinit Bolinjkar, Head of Research at Ventura Securities.
However, a few technical analysts flagged profit booking, with support seen at Rs 930–940 and resistance around Rs 960–1,000. A breakout above resistance could aid recovery, though caution is warranted near current levels.
Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, noted support in the Rs 950–940 zone and resistance at Rs 980–1,000, adding that only a decisive breakout would define the next trend.
Kunal Kamble, Senior Technical Research Analyst at Bonanza, said private banks are under pressure after a strong rally. He highlighted support at Rs 928 and Rs 910, with recovery possible only above Rs 992, while advising caution at current levels.
Jigar S Patel, Senior Manager – Technical Research at Anand Rathi, pegged support at Rs 930 and resistance at Rs 960. He expects the stock to hover in the Rs 930–985 range in the near term, with upside potential if it sustains above Rs 960.
Shares of HDFC Bank Ltd, which turned ex-bonus in a 1:1 ratio on August 26, continued to slip on Monday. The stock shed 0.08 per cent to close at Rs 950.80, marking a 5.50 per cent fall over the past month.
The bonus issue entitled shareholders to one additional equity share for every share held. The move was aimed at enhancing liquidity and boosting retail participation.
Some analysts noted that the stock's fundamentals remain unchanged after the corporate action.
Kranthi Bathini, Director of Equity Strategy at WealthMills Securities, said the stock looks attractive after the bonus issuance. He suggested investors may consider buying at current levels and on dips with a long-term view.
"For retail investors, the price gets more affordable but fundamentals actually don't change. HDFC Bank, as a fundamental stock, will see things get better down the road. Aggressive growth may take a little more time, but these are the times when you should be buying blue chips like HDFC, which have proven to be strong growth stories over the long run," stated Vinit Bolinjkar, Head of Research at Ventura Securities.
However, a few technical analysts flagged profit booking, with support seen at Rs 930–940 and resistance around Rs 960–1,000. A breakout above resistance could aid recovery, though caution is warranted near current levels.
Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, noted support in the Rs 950–940 zone and resistance at Rs 980–1,000, adding that only a decisive breakout would define the next trend.
Kunal Kamble, Senior Technical Research Analyst at Bonanza, said private banks are under pressure after a strong rally. He highlighted support at Rs 928 and Rs 910, with recovery possible only above Rs 992, while advising caution at current levels.
Jigar S Patel, Senior Manager – Technical Research at Anand Rathi, pegged support at Rs 930 and resistance at Rs 960. He expects the stock to hover in the Rs 930–985 range in the near term, with upside potential if it sustains above Rs 960.