Bullish on banks? Check out analysts' latest fundamental targets for HDFC, RBL, AU

Global brokerage firms have shared mixed views on leading Indian banks, highlighting varied growth trends in loans, deposits, and margins for the September quarter.

Kotak Mahindra Bank Share Price Target 2025

Citi has maintained its ‘buy’ rating on Kotak Mahindra Bank with a target price of Rs 2,525 against the current market price of Rs 2,100. The brokerage noted robust advances growth and said deposit momentum has remained strong. It added that MFI stress likely peaked in Q1, with credit costs expected to ease going forward. Citi also expects an improvement in the personal loan credit cost trajectory.

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IndusInd Bank Share Price Target 2025

However, Citi maintained a ‘sell’ rating on IndusInd Bank (CMP Rs 747), with a target price of Rs 765. The report said both advances and deposits contracted by 2% QoQ, though retail deposits remained steady. The brokerage expects core fee income to show some improvement sequentially.

HDFC Share Price Target 2025

On HDFC Bank (CMP Rs 956), Citi also reiterated a ‘buy’ call with a target of Rs 1,180. The brokerage said advances grew 4.4% quarter-on-quarter, in line with the industry average, while deposit growth remained modest. It added that loan-to-deposit ratio expanded by 280 basis points, and the bank’s focus on NIMs (net interest margins) remains intact.

Global brokerage Bernstein also remained positive on HDFC Bank (CMP Rs 965), maintaining an ‘outperform’ rating with a target price of Rs 1,150. It highlighted strong loan growth but weak deposit growth in Q2, adding that in a growth-starved environment, HDFC Bank’s lending expansion is a key positive. Bernstein noted that slower deposit growth could aid margins in the short term.

AU Small Finance Bank Share Price Target 2025

Morgan Stanley maintained its ‘overweight’ rating on AU Small Finance Bank (CMP Rs 742) with a target price of Rs 1,000. The brokerage highlighted strong balance sheet growth and said deposit growth normalized to 20.8% year-on-year, signaling healthy momentum.

RBL Bank Share Price Target 2025

On RBL Bank, Morgan Stanley retained an ‘underweight’ rating with a target price of Rs 175. The note said gross loan growth accelerated to 14% YoY, compared to 9.3% in the previous quarter, indicating some pickup in lending activity despite broader challenges.