HDFC Bank Leads Indian Banks in Market Cap Growth for Q4 2023

In the quarter ending December 31, 2023, HDFC Bank emerged as the front-runner among major Indian banks, experiencing a significant 12.1% surge in market capitalization, reaching a substantial $155.91 billion. This accomplishment solidified HDFC Bank’s position as India’s largest bank, a status achieved through its merger with parent company Housing Development Finance Corp. Ltd. in July 2023.

Other prominent Indian banks also witnessed positive market cap trends during the same period. State Bank of India, the country’s leading bank by assets, marked a 7.3% increase, reaching $68.8 billion, while ICICI Bank Ltd. demonstrated a gain of 4.9%, reaching $83.98 billion.

Contrastingly, Japanese megabanks experienced a decline in market caps despite the overall market’s high investor interest throughout the previous year, according to data and analysis from S&P Global Market Intelligence.

In the broader regional context, Industrial and Commercial Bank of China Ltd., holding the title of China’s largest bank by assets, maintained its position as the leading bank by market cap. In the fourth quarter, the bank’s market cap increased by 4.2% to $224.19 billion. Agricultural Bank of China Ltd. secured its standing as the second-largest bank in the region, with a 3.7% rise in market cap, reaching $175.72 billion. The data suggests a positive trajectory for Indian banks in market capitalization, contrasting with the challenges faced by their Japanese counterparts.