HDFC Bank shares slide 10% in four day after Q1 results but brokerages see up to 40% upside. Here’s why

HDFC Bank reported a 5% YoY rise in standalone net profit to Rs 19,060 crore for Q1 FY27, with NII up 7% YoY at Rs 33,534 crore, though NIM contracted 12 bps QoQ to 3.26%. Shares fell 10% in four sessions post-results, but brokerages including Jefferies, Nomura, Motilal Oswal, and JM Financial maintained Buy/Add ratings with targets implying 19-40% upside. Loan growth at 16% YoY was driven by corporate and SME segments while retail lending remained subdued.