Immersion Capital LLP Takes Position in HDFC Bank Limited $HDB

Key Points

• Immersion Capital LLP has acquired 297,305 shares in HDFC Bank Limited, valued at approximately $19.75 million, making it the bank's 4th largest holding in its portfolio.
• Several institutional investors have significantly increased their stakes in HDFC Bank during the first quarter, including GQG Partners LLC and OVERSEA CHINESE BANKING Corp Ltd, with GQG Partners boosting holdings by 105.5%.
• HDFC Bank recently reported earnings of $0.74 per share, slightly missing the analysts' estimates, while also having a market cap of $181.37 billion.

Immersion Capital LLP bought a new position in shares of HDFC Bank Limited (NYSE:HDB - Free Report) during the 1st quarter, according to its most recent disclosure with the SEC. The fund bought 297,305 shares of the bank's stock, valued at approximately $19,753,000. HDFC Bank accounts for 13.5% of Immersion Capital LLP's holdings, making the stock its 4th biggest holding.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the stock. GQG Partners LLC lifted its holdings in HDFC Bank by 105.5% during the 1st quarter. GQG Partners LLC now owns 16,196,992 shares of the bank's stock worth $1,076,128,000 after buying an additional 8,313,645 shares during the period. JPMorgan Chase & Co. lifted its holdings in HDFC Bank by 2.1% during the 1st quarter. JPMorgan Chase & Co. now owns 9,616,713 shares of the bank's stock worth $638,934,000 after buying an additional 202,032 shares during the period. Temasek Holdings Private Ltd lifted its holdings in HDFC Bank by 2.3% during the 4th quarter. Temasek Holdings Private Ltd now owns 8,557,788 shares of the bank's stock worth $546,500,000 after buying an additional 190,566 shares during the period. Royal Bank of Canada lifted its holdings in HDFC Bank by 43.0% during the 4th quarter. Royal Bank of Canada now owns 7,307,074 shares of the bank's stock worth $466,629,000 after buying an additional 2,196,315 shares during the period. Finally, Bank of America Corp DE lifted its stake in shares of HDFC Bank by 27.3% in the 4th quarter. Bank of America Corp DE now owns 6,373,404 shares of the bank's stock valued at $407,006,000 after purchasing an additional 1,368,365 shares during the period. 17.61% of the stock is owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Separately, Wall Street Zen raised HDFC Bank from a "sell" rating to a "hold" rating in a research note on Saturday, July 26th. One equities research analyst has rated the stock with a Strong Buy rating and one has issued a Buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of "Strong Buy".

HDFC Bank Stock Performance

HDB traded down $1.38 during midday trading on Tuesday, reaching $69.78. 2,976,808 shares of the company were exchanged, compared to its average volume of 2,524,853. The company's fifty day moving average price is $75.54 and its 200 day moving average price is $71.01. The company has a market cap of $177.99 billion, a price-to-earnings ratio of 21.40, a price-to-earnings-growth ratio of 1.82 and a beta of 0.63. HDFC Bank Limited has a one year low of $57.78 and a one year high of $79.61.

HDFC Bank (NYSE:HDB - Get Free Report) last issued its quarterly earnings data on Saturday, July 19th. The bank reported $0.74 EPS for the quarter, missing analysts' consensus estimates of $0.75 by ($0.01). The company had revenue of $5.10 billion for the quarter, compared to the consensus estimate of $5.03 billion. HDFC Bank had a return on equity of 11.60% and a net margin of 14.49%. As a group, sell-side analysts anticipate that HDFC Bank Limited will post 3.03 earnings per share for the current fiscal year.

HDFC Bank Announces Dividend

The business also recently disclosed a special dividend, which was paid on Wednesday, August 20th. Shareholders of record on Thursday, July 31st were issued a dividend of $0.1707 per share. This represents a yield of 101.0%. The ex-dividend date of this dividend was Thursday, July 31st. HDFC Bank's payout ratio is currently 19.63%.

HDFC Bank Profile

HDFC Bank Limited provides banking and financial services to individuals and businesses in India, Bahrain, Hong Kong, and Dubai. The company operates in three segments: Wholesale Banking, Retail Banking, and Treasury Services. It accepts savings, salary, current, rural, public provident fund, pension, and demat accounts; fixed and recurring deposits; and safe deposit lockers, as well as offshore accounts and deposits, and overdrafts against fixed deposits.