Goldman Sachs has a buy rating on HDFC Bank with a target price of Rs 1,681 and expect RoA and RoE to touch about 2.1 percent and 18 percent plus by FY23. They also expect the bank to touch market cap of $200 billion along with doubling its balancesheet by FY24.

After an investor call with senior management of HDFC Bank, they expect the corporate credit demand to revive on the back of delivered balance sheet and government measures aiding corporate loan growth in the coming months.

They are also seeing a broad-based macro recovery and pick up in capex which augurs well for the bank. The SME sector has got a boost from the ECLGS scheme and they are confident of SME based NPLs to be lower.

Watch the video for more.

(Edited by : Abhishek Jha)