HDFC Bank witnessed significant market activity on January 9, 2026, as shares worth ₹1,676.35 crore changed hands through a major block deal. The transaction involved 1.7 crore shares traded at ₹949.55 each, highlighting strong investor interest in one of India's leading private sector banks. Currently, the bank's shares are trading at ₹938.70 per share, down from the previous close of ₹946.60, with a market capitalization of ₹14,44,150 crore.

Recent Block Deal Activity

The January 9, 2026 block deal represents substantial institutional interest in HDFC Bank's equity. The transaction details are summarized below:

This follows another significant block deal on January 7, 2026, where 3.1 crore shares were traded at ₹951.05 each, resulting in a total deal value of ₹2,946.42 crore. The consecutive large-scale transactions indicate sustained institutional confidence in the banking giant.

Strong Q2 FY26 Financial Performance

HDFC Bank reported robust financial results for Q2 FY26, demonstrating strong operational performance across key metrics:

Deposit and Lending Growth

The bank maintained strong growth momentum in its core banking operations during Q2 FY26. Average deposits rose 15.1% year-on-year to ₹3.56 lakh crore, while end-of-period deposits increased 12.1% year-on-year. The deposit composition showed balanced growth with CASA deposits increasing modestly by ₹0.17 lakh crore (1.9%) quarter-on-quarter, while time deposits grew by ₹0.36 lakh crore (2.0%) quarter-on-quarter.

Assets under management demonstrated consistent expansion, growing 9.0% year-on-year to ₹2.31 lakh crore on average. Quarter-on-quarter growth stood at 1.9%, with end-of-period AUM up 3.1%. Gross advances increased 9.9% year-on-year and 4.4% quarter-on-quarter, reflecting the bank's continued lending momentum.

Asset Quality and Corporate Background

HDFC Bank maintained stable asset quality metrics with Gross Non-Performing Assets (GNPA) at 1.24% and ex-agriculture GNPA at 0.99%. These figures demonstrate the bank's effective risk management practices and loan portfolio quality.

Incorporated in 1994 and commencing operations in 1995, HDFC Bank was among the first institutions to receive approval from the Reserve Bank of India to establish a private sector bank. In 2022, the bank merged with HDFC Ltd, India's largest housing finance company, creating a comprehensive financial conglomerate offering banking, home loans, insurance, and mutual funds across urban, semi-urban, and rural markets throughout India.

India's largest private sector lender HDFC Bank is experiencing its most challenging week in nearly a year, with shares declining for five consecutive trading days. The stock fell another 1.50% on Friday, January 9, extending a losing streak that has wiped out significant shareholder value.

Weekly Performance and Market Impact

The sustained decline has resulted in HDFC Bank's worst weekly performance since January 2024, when the stock had declined 10.00% during the week ending January 19. This week's 6.50% decline represents a significant setback for the banking giant.

The market capitalization impact has been substantial, with HDFC Bank losing over ₹1 lakh crore in value during this period. The bank's market cap declined from ₹15.49 lakh crore at the end of last Friday to ₹14.39 lakh crore currently.

Business Performance Highlights

Despite the stock's poor performance, HDFC Bank reported encouraging business metrics in its third quarter update earlier this week. The bank achieved double-digit loan growth for the first time since its merger with HDFC, with the loan book expanding by 12.00%.

Deposits grew in line with advances at 11.50%, maintaining a balanced growth trajectory. However, the loan-to-deposit ratio increased by 50 basis points to nearly 99.00%, exceeding management's guidance of bringing it down to less than 90.00% in the near term.

Shareholding Pattern Changes

Retail shareholders have been steadily reducing their exposure to HDFC Bank, reflecting changing investor sentiment. Their holding declined to 9.41% as of December 2025, marking the lowest level in the last 20 quarters according to historical shareholding data from stock exchanges. Retail shareholders typically own about 7.50% of Indian equities overall.

Current Trading and Outlook

Shares of HDFC Bank are currently trading 1.10% lower at ₹935.90. The market will closely watch the bank's third quarter results, scheduled for release on Saturday, January 17, for further insights into the lender's operational performance and management commentary on key metrics.

The upcoming results announcement will be particularly significant given the recent stock performance and investor concerns about the elevated loan-to-deposit ratio, which remains well above management's stated targets.