HDFC Bank becomes first bank to cross Rs 7 lakh crore market cap

HDFC Bank, the country's largest private sector lender, has joined the Rs 7 lakh crore market capitalisation (M-cap) league, making it only the third Indian company to do so after Mukesh Ambani's Reliance Industries and Tata Consultancy Services. It is the first bank to achieve the feat.

The market capitalisation of HDFC Bank touched Rs 7,01,730.21 (7.01 lakh crore) for the first time ever, after shares of the private sector lender surged near its 52-week high on Thursday. Only Reliance Industries (RIL) and TCS have achieved this milestone. With market capitalisation of Rs 9.38 lakh crore, RIL is the most-valued company, followed by TCS with at Rs 8.28 lakh crore.

HDFC Bank shares were trading near its 52-week high of Rs 1,285, up  0.7 per cent at Rs 1283.40 apiece on the Bombay Stock Exchange. The bank's stock opened higher at Rs 1,283 against previous close level of Rs 1,273.70. The stock touched its 52-week high of Rs 1,285 on September 23 this year and its 52-week low of Rs 979.23 on November 15, 2018.

Also Read: HDFC Bank net profit rises 26.8% to Rs 6,345 crore in Q2 FY20

In a similar trend, stocks of HDFC Bank were at Rs 1,281.75, up 0.62 per cent on the National Stock Exchange.

As per data available with the exchange, as much as 1.53 lakh shares changed hands over the counter as compared to two-week average volume of 2.04 lakh shares on the BSE.

Also Read: Why Bharti Airtel shares rose over 5% despite posting record loss in Q2

HDFC Bank reported 26.8 per cent rise in net profit at Rs 6,345 crore in September quarter as compared to Rs 5,005.73 crore in the corresponding quarter last year. The lender's net interest income grew 14.89 per cent YoY to Rs 13,515 crore , while other income stood at Rs 5,588.7 crore, up 39.2 per cent on the yearly basis.

On the asset front, the bank's absolute value of bad loans jumped 6 per cent to Rs 12,508 crore. Gross non-performing assets ratio was at 1.38 per cent in Q2FY20 compared to 1.4 per cent in the previous quarter.

Meanwhile, the BSE Sensex was trading at 40,500, up by 213.96 points or 0.53 per cent, and the NSE Nifty was at 11,931.3, up 0.5 per cent.

Edited by Chitranjan Kumar