HDFC Bank is making strong headlines. Its market cap has now touched ₹14.69 lakh crore (around $176.28 billion) based on the market closing of 28 April 2025. Interestingly, it has come very close to the market cap of the American banking giant Goldman Sachs, which is ₹14.93 lakh crore ($179.16 billion).

HDFC Bank’s stock is moving steadily towards ₹2000, and if this pace continues, it may soon overtake Goldman Sachs in market cap. This is a proud moment for the Indian banking industry, showing how Indian banks are now standing strong among global giants.

How HDFC Bank and Goldman Sachs Are Different

While the numbers are very close, it’s important to understand that HDFC Bank and Goldman Sachs work very differently. HDFC Bank mainly focuses on traditional banking — taking deposits and giving retail loans. On the other hand, Goldman Sachs is an investment bank. It doesn’t depend much on a retail deposit base.

So, a direct business comparison is not right. Still, the fact that HDFC Bank’s market cap is nearly matching a global financial giant shows the growing power of Indian banks in the global economy.

Why Is HDFC Bank Stock Rising?

HDFC Bank shares have seen a strong rally for several reasons:

• Strong Quarterly Results:
  Good performance in the recent quarter gave confidence to investors.
• Better Management of Balance Sheet:
  After the merger with HDFC Ltd in 2023, HDFC Bank’s loan book grew faster than deposits. This increased the loan-to-deposit ratio (LDR) to 104% in March 2024. But the bank worked smartly to bring it down to 96.5% by March 2025.
• Focus on Deposits:
  HDFC Bank has shifted focus back to increasing deposits, which is important for healthy growth.
• Improvement in Liquidity:
  With better liquidity in the system and possible repo rate cuts, banks like HDFC are now seeing more stable interest margins.
• Better Loan Mix:
  HDFC Bank is now moving towards higher-yield retail loans, which are more profitable.

Experts Are Positive on HDFC Bank

According to a report by Nuwama Wealth and Investment, HDFC Bank’s net interest margin (NIM) is expected to stay between 3.5% and 3.6% by FY 2027. They believe the bank’s deposit base will continue to grow at a good speed.

Goldman Sachs itself has recently started fresh coverage on HDFC Bank and given a “buy” rating. Goldman expects the stock to cross ₹2000 soon. On 23 April 2025, HDFC Bank stock had already touched a record high of ₹1977.95, compared to its one-year low of ₹1430.15 on 13 May 2024.

What Future Looks Like for HDFC Bank

HDFC Bank’s CFO Srinivasan Vaidyanathan has said that the bank is aiming to bring back its loan-to-deposit ratio to 85-90% by FY 2027, which was the situation before the merger. With steady growth in deposits, stable margins, and better loan quality, HDFC Bank is well-positioned for future success.

Even though HDFC Bank and Goldman Sachs operate differently, this comparison clearly highlights that Indian banks are becoming bigger players in the world market. If the current momentum continues, we might soon see HDFC Bank proudly standing even taller.

Source: Moneycontrol