HDFC Bank Snaps Four-Day Winning Streak After Weightage Falls In MSCI Domestic Index
Meanwhile, HDFC Bank received an expected weight increase in MSCI Global Standard Index.
Shares of HDFC Bank Ltd. declined on Tuesday, reversing a four-day winning streak on Tuesday after the weightage of the private lender in MSCI India Domestic Index decreased 0.20% to 8.31%.
Meanwhile, HDFC Bank received an expected weight increase in MSCI Global Standard Index. The stock will get weightage increase in two tranches, the MSCI Inc. said in its August review, late on Monday. The first will come into effect from Sept. 2, while details of the second will be provided by MSCI Inc. in its November review.
The weightage of HDFC Bank in MSCI indices will be increased to 5.32%, effective from Sept. 2.
Streets anticipated the weightage increase as the private lender reported a fall in its foreign institutional holding in the June quarter. Its FII holding dropped to 54.83% from 55.54%.
The stock had gained 2.25% till Monday from Aug. 7, before it reversed a four-day winning streak.
Shares of HDFC Bank Ltd. declined 2.80%, the lowest level since Aug. 7. They pared some loss to trade 2.29% lower to Rs 1,622.05 as of 10:00 a.m., compared to a 0.13% decline in the NSE Nifty 50.
The scrip gained 3.15% in 12 months, and declined 5.15% year-to-date. Total traded volume on NSE so far in the day stood at 0.27 times its 30-day average. The relative strength index was at 48.28.
Out of 48 analysts tracking the company, 39 maintain a 'buy' rating, and nine recommend a 'hold', according to Bloomberg data. The average 12-month analysts' consensus price target implies an upside of 15.7%.
