HDFC Bank's Q1 2023 Results: Share Price Rebound Analysis

HDFC Bank's share price recovered from its lowest point during the day after the announcement of its Q1 results for 2023. The share price initially opened higher but later experienced a decline before reaching its lowest point just before the Q1 results were released. However, the announcement of better-than-expected results led to an increase in buying interest, causing the stock to rise by around 2.50% from its lowest point on Monday.

According to experts in the stock market, HDFC Bank has reported strong Q1 results for 2023, with a 30% increase in profit compared to the same period last year. They also mentioned that the bank has improved its net interest income and margins, which will contribute to the improvement of its Current and Savings Account (CASA) in the future. Shareholders were advised to hold the stock with a short-term target of ₹1,850 per share, and new investors were suggested to consider buying the stock above ₹1,780 or around ₹1,750 per share.

The rise in HDFC Bank's share price after the Q1 results is attributed to the bank's better-than-expected performance. The bank's net profit increased by 30% year-on-year, while its net interest income rose by 21%. The merger of HDFC Bank and HDFC has already improved the CASA, and the strong quarterly results are expected to further enhance it. Shareholders were advised to hold the stock with an immediate target of ₹1,820.

In terms of technical analysis, experts predict that HDFC Bank's share price could reach levels between ₹1,825 and ₹1,850 in the near term. Shareholders were advised to hold the stock with a stop loss at ₹1,725 for a short-term target of ₹1,850. For new investors, it was recommended to wait for a breakout above ₹1,780 before buying, or consider purchasing the stock if it dips to around ₹1,750 per share.

The standalone net profit of HDFC Bank for the quarter ended June 2023 was ₹11,951.7 crore, showing a 30% growth compared to the same period in the previous year. The net interest income for the April to June 2023 quarter increased by 21.10% to ₹23,599.1 crore.