HDFC Bank gets MSCI boost, expects $2.5 bln inflows By Investing.com
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 13 2024
0mins
Source: Investing.com
MSCI Adjustment for HDFC Bank: MSCI has increased the Foreign Inclusion Factor (FIF) for HDFC Bank from 0.5 to 0.75, which is expected to attract significant passive inflows and could lead to an additional $2-2.5 billion in investments if foreign ownership remains below 59.2% by September 2024.
Risks and Analyst Outlook: Despite the positive adjustment, analysts highlight risks such as potential asset quality deterioration and tight liquidity that could impact HDFC Bank's growth, while maintaining an "outperform" rating with a price target of 2,100 Indian rupees, indicating a 26% upside potential.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
