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Trade-Ideas LLC identified
) as a new lifetime high candidate. In addition to specific proprietary factors, Trade-Ideas identified HDFC Bank as such a stock due to the following factors:
- HDB has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $37.1 million.
- HDB has traded 1,300 shares today.
- HDB is trading at a new lifetime high.
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More details on HDB:
HDFC Bank Limited, together with its subsidiaries, provides a range of banking and financial services to individuals and businesses in India, as well as in Bahrain and Hong Kong. The company operates in four segments: Retail Banking, Wholesale Banking, Treasury, and Other Banking Operations. The stock currently has a dividend yield of 0.6%. HDB has a PE ratio of 31.5. Currently there are 2 analysts that rate HDFC Bank a buy, no analysts rate it a sell, and none rate it a hold.
The average volume for HDFC Bank has been 802,300 shares per day over the past 30 days. HDFC has a market cap of $40.9 billion and is part of the financial sector and banking industry. Shares are up 46.3% year-to-date as of the close of trading on Wednesday.
rates HDFC Bank as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, compelling growth in net income, solid stock price performance and expanding profit margins. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.
Highlights from the ratings report include:
- The revenue growth came in higher than the industry average of 9.3%. Since the same quarter one year prior, revenues rose by 17.1%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. In comparison to the other companies in the Commercial Banks industry and the overall market, HDFC BANK LTD's return on equity significantly exceeds that of the industry average and is above that of the S&P 500.
- The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Commercial Banks industry average. The net income increased by 32.9% when compared to the same quarter one year prior, rising from $352.13 million to $467.84 million.
- Powered by its strong earnings growth of 31.81% and other important driving factors, this stock has surged by 44.14% over the past year, outperforming the rise in the S&P 500 Index during the same period. We feel that the stock's sharp appreciation over the last year has driven it to a price level which is now somewhat expensive compared to the rest of its industry. The other strengths this company shows, however, justify the higher price levels.
- The gross profit margin for HDFC BANK LTD is rather high; currently it is at 54.50%. Regardless of HDB's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, HDB's net profit margin of 17.86% compares favorably to the industry average.
- You can view the full HDFC Bank Ratings Report.