HDFC Bank shares hit 7-week high as RBI weighs Anup Bagchi for CEO post. What lies ahead?

HDFC Bank shares hit 7-week high as RBI weighs Anup Bagchi for CEO post.

What lies ahead?

ETMarkets.com HDFC Bank shares rose to a nearly seven-week high.

Synopsis HDFC Bank shares rose to a nearly seven-week high of Rs 749.30, extending gains to 5% over three sessions, after ET reported that the RBI is weighing Anup Bagchi’s candidature for the bank’s CEO and MD post and has sought feedback from IRDAI and ICICI Bank CEO Sandeep Bakhshi.

By Debaroti Adhikary, ETMarkets.com XPeers HDFC Bank Share Price ICICI Bank Share Price Kotak Mahindra Bank Share Price Axis Bank Share Price Federal Bank Share Price Sep 22, 2026, 12:08:00 PM IST 1 Follow us Shares of HDFC Bank extended gains on Tuesday after The Economic Times reported that the Reserve Bank of India is weighing Anup Bagchi's candidature for the role of CEO and MD at India’s largest private bank.ADVERTISEMENT HDFC Bank shares rose to Rs 749.30 apiece on Tuesday, the highest level seen by the stock in nearly seven weeks.

The stock has overall jumped 5% in three straight sessions of gains, despite volatility in the broader markets.RBI has sought feedback from the insurance regulator and ICICI Bank CEO Sandeep Bakhshi on the candidature of the 55-year-old Anup Bagchi for the top job at HDFC Bank, two people familiar with the matter told The Economic Times.

Bagchi has been managing director and CEO of ICICI Prudential Life Insurance for the past three years.

Before becoming the CEO at the insurer in 2023, he was an executive director at ICICI Bank from 2017, heading the wholesale banking, transaction banking, markets group and the proprietary trading group.

Earlier last week, the private lender said it had submitted the names of two candidates to the RBI for the CEO role, formally kicking off the succession process for Sashidhar Jagdishan, who is due to retire later this year.ADVERTISEMENT This comes as concerns over the governance cloud that emerged in March, after former part-time Chairman Atanu Chakraborty resigned, saying some practices within the bank did not align with his personal values and ethics, continue to ease.

It maintained its ‘Buy’ call on the stock with a target price of Rs 1,000 apiece, implying more than 35% upside potential from the stock’s previous closing price of Rs 739.50 apiece on NSE.ADVERTISEMENT ADVERTISEMENT UBS analysts believe that the leadership worries will be resolved soon after the submission of names to the RBI for the CEO position, which in turn could lead to a rerating, ET Now reported.

It added that UBS expects the bank’s loan growth to improve to 15% over FY27-29, while margins could recover cyclically from here towards 3.5%.

The analysts also expect HDFC Bank’s Return on Assets to improve to 1.9% in FY27-28, and find the risk-to-reward ratio favourable at 1.4 times FY28. Buy.

Has the stock hit its bottom?ADVERTISEMENT Macquarie on HDFC Bank share price Macquarie maintained its ‘Outperform’ rating on HDFC Bank shares with a target price of Rs 1,150 apiece.

This implies an upside potential of nearly 56% over the stock’s previous closing price.The international brokerage said an external CEO appointment is viewed as the primary catalyst for a stock re-rating, ET Now reported.Nomura on HDFC Bank share price Nomura said that a credible external candidate could offer a longer runway and a cleaner slate.

“In our view, this could be more significant for the stock over the medium term, as a new leader would have greater scope to reassess strategy, challenge existing practices and drive a strategic reset.

With the stock having materially underperformed, a credible external appointment with a strong operating track record could therefore emerge as a catalyst for a re-rating, particularly if accompanied by a clear roadmap on growth, deposits, margins and returns,” it explained.ADVERTISEMENT The international brokerage maintained its ‘Buy’ call on the stock with a target price of Rs 950 apiece, implying more than 28% upside potential from the stock’s previous closing price..HDFC Bank share price Shares of heavyweight HDFC Bank have hit fresh 52-week lows for several consecutive sessions earlier this month, even as analysts maintained their 'Buy' calls after the stock tumbled sharply in 2026 so far.The shares of India's largest private lender dropped to a fresh 52-week low of Rs 681.90 apiece on September 11.

This marks more than a 33% fall in less than 11 months after hitting a record high of Rs 1,020.50 apiece in October last year.

The stock has now recovered 4% in a week. 0 as oil prices, bond yields cool down.