HDFC Bank Ltd (HDB): Today's Featured Financial Laggard

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

HDFC Bank ( HDB) pushed the Financial sector lower today making it today's featured Financial laggard. The sector as a whole closed the day up 0.1%. By the end of trading, HDFC Bank fell $1.03 (-3.2%) to $31.52 on average volume. Throughout the day, 878,837 shares of HDFC Bank exchanged hands as compared to its average daily volume of 1,005,500 shares. The stock ranged in price between $31.30-$32.19 after having opened the day at $32.16 as compared to the previous trading day's close of $32.55. Other companies within the Financial sector that declined today were: OptimumBank Holdings ( OPHC), down 8.8%, Chatham Lodging ( CLDT), down 6.7%, Tower Group ( TWGP), down 6.7% and Roberts Realty Investors ( RPI), down 6.6%.

HDFC Bank Limited, together with its subsidiaries, provides a range of financial products and 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. HDFC Bank has a market cap of $25.8 billion and is part of the banking industry. Shares are down 20.5% year to date as of the close of trading on Tuesday. Currently there is 1 analyst that rates HDFC Bank a buy, no analysts rate it a sell, and 1 rates it a hold.

TheStreet Ratings rates HDFC Bank as a hold. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including a generally disappointing performance in the stock itself, premium valuation and feeble growth in the company's earnings per share.

On the positive front, GAIN Capital Holdings ( GCAP), up 18.5%, Paulson Capital ( PLCC), up 15.3%, Vestin Realty Mortgage II ( VRTB), up 11.1% and Atlantic Coast Financial ( ACFC), up 9.6% , were all gainers within the financial sector with Prudential Financial ( PRU) being today's featured financial sector leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the financial sector could consider Financial Select Sector SPDR ( XLF) while those bearish on the financial sector could consider Proshares Short Financials ( SEF).

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.
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