What’s Happening with HDFC Bank?
HDFC Bank, India’s largest private bank, has created history by announcing its first-ever bonus issue in a 1:1 ratio. This means if you owned 100 shares before, you now get 100 more shares absolutely free! The record date was August 27, 2025, and the stock started trading ex-bonus from August 26, 2025.
Understanding HDFC Bank Share Price Movement
The “Big Drop” That Isn’t Really a Drop
Don’t panic if you see HDFC Bank’s share price showing a massive 50% fall! The stock price has adjusted from around ₹1,964 to approximately ₹970-980. This is not a real loss – it’s just a mathematical adjustment due to the bonus issue.
“This corporate action does not impact the market capitalisation or shareholder value. It’s a proportional dilution where price adjusts in line with share count.”
Read More: Anlon Healthcare IPO GMP Today: Listing Date, Share Price & Allotment Status Check 2025
Current Share Price Status
As of August 26, 2025, HDFC Bank shares are trading around ₹970-980 after the bonus adjustment. The stock has shown remarkable performance with:
HDFC Bank’s Strong Financial Performance
Q1 FY26 Highlights
The bank posted impressive numbers in its latest quarterly results:
- Net profit: ₹18,155 crores (12% YoY growth)
- Total income: ₹99,200 crores (18.5% YoY growth)
- Net Interest Income: ₹31,440 crores (5.4% growth)
Why This Bonus Issue Matters
This is HDFC Bank’s first bonus issue in over 30 years of trading history. The bank previously did stock splits in 2011 and 2019, but never a bonus issue. This move shows:
- Management’s confidence in future growth
- Better liquidity for retail investors
- Reward for long-term shareholders
What Analysts Say About HDFC Bank
Brokerages remain bullish on HDFC Bank:
- JM Financial: Buy with target ₹2,130
- ICICI Securities: Buy with target ₹2,200
- 38 analysts recommend the stock with majority “Strong Buy” ratings
Read More: Vikran Engineering IPO GMP ₹18 Today! Complete Guide to Price, Dates & Allotment Status
Frequently Asked Questions (FAQ)
Q: Do I lose money because of the share price drop?
A: No! Your total investment value remains the same. If you had 100 shares at ₹2,000 each (₹2 lakh total), you now have 200 shares at ₹1,000 each (still ₹2 lakh total).
Q: When will I get my bonus shares?
A: Bonus shares will be credited by September 18, 2025.
Q: Should I buy HDFC Bank shares now?
A: With strong fundamentals and analyst recommendations, HDFC Bank remains a solid long-term investment choice.
The Bottom Line
HDFC Bank’s historic bonus issue marks a significant milestone for India’s banking sector. With strong financial performance, growing market presence, and management confidence, the stock continues to be a favorite among investors and analysts alike.
