Citi has reiterated its 'Buy' rating on HDFC Bank, setting a target price of Rs 1,990. HDB has filed for an IPO to meet mandatory listing requirements and raise capital for growth. HDB is a leading, diversified NBFC-UL with a strong AAA credit rating. After the IPO, HDB’s valuation at 3-4x would account for 2.8-4.3% of HDFC Bank’s market capitalization.
