HDB Financial Services Limited (HDBFS) Fair Value & Analysis
Financial Services · IN · Market cap ₹626B
Fair value as of: Jul 11, 2026
From 7 valuation models · updated 29 days ago
Share price −8.4% over the past month.
Below-average quality, currently priced close to our fair value.
What matters now
- The price sits close to our fair value, market and models broadly agree here, little valuation tension.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (13 months)
White line = price, green steps = our fair value per fiscal year. As of Jul 11, 2026.
How to read this chart
13‑month range ₹558.36 – ₹859.22 · fair‑value band ₹460.60 – ₹767.67 · the ₹665.65 price screens above the ₹614.14 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Jul 11, 2026.
Analysis
HDB Financial Services Limited (HDBFS) currently trades at ₹665.65, while our model-based Fair Value estimate is ₹614.14, implying the stock looks roughly 7.7% fairly valued today. The Quality Score stands at 38/100 (below-average quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, HDB Financial Services Limited generated revenue of ₹87.9B at a net margin of 28.9%. Revenue grew 18.4% year over year. It earns a return on equity of 14.0%. Net debt stands at ₹910B. Fundamentals as of Jul 11, 2026
Our scenario range runs from ₹460.60 (bear case) to ₹767.67 (bull case); at ₹665.65, the current price sits within that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 25% below its 52-week high and 20% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -41% fair-value upside, at -8%, HDBFS screens cheaper than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 7 models by family
Widest divergence: Earnings-Based (₹414.54) versus Asset-Based (₹167.12). Highest evidence: Residual Income (76).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 11, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 29 · Market factors (momentum, volatility) 47
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
HDB Financial Services Limited operates as a non-banking financial company that provides lending and business process outsourcing services in India.
Full company description
HDB Financial Services Limited operates as a non-banking financial company that provides lending and business process outsourcing services in India. The company offers personal loans, salaried personal loans, business loans, micro lending loans, auto loans, two-wheeler loans, gold loans, loans against property, enterprise business loans, consumer durable loans, commercial vehicle loans, construction equipment loans, car loans, digital and lifestyle product loans, digital lending, tractor loans, and general and life insurance products. Its BPO services include back-office services, such as forms processing, documents verification, finance and accounting services, and correspondence management; and front office services, consisting of contact center management, outbound marketing, and collection services. The company was incorporated in 2007 and is based in Mumbai, India. HDB Financial Services Limited operates as a subsidiary of HDFC Bank Limited.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2023 – FY2026 · reported fiscal years
HDB Financial Services Limited reported revenue of ₹181B in FY2026 versus ₹122B in FY2023, a compound +14.0%/yr. Reported net income was ₹25.4B in FY2026, compounding +9.1%/yr from FY2023.
Watch HDBFS: get an alert when its fair value changes →
Peer Group
Credit Services · 333 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Credit Services median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Credit Services stocks, each showing price versus our Fair Value estimate (as of Jul 11, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Visa Inc V | $348.97 | $204.19 | -41% |
| Mastercard Incorporated MA | $537.70 | $221.87 | -59% |
| American Express Company AXP | $358.44 | $206.40 | -42% |
| Bajaj Finance Limited BAJFINANCE | ₹1,056 | ₹397.61 | -62% |
| Shriram Finance Limited SHRIRAMFIN | ₹1,024 | ₹553.83 | -46% |
| Cholamandalam Investment and Finance Company CHOLAFIN | ₹1,808 | ₹796.52 | -56% |
| Tata Capital Limited TATACAP | ₹360.60 | ₹229.85 | -36% |
| Power Finance Corporation PFC | ₹405.10 | ₹810.20 | +100% |
| Muthoot Finance Limited MUTHOOTFIN | ₹3,129 | ₹3,463 | +11% |
| Indian Railway Finance Corporation IRFC | ₹88.41 | ₹69.72 | -21% |
Compare HDB Financial Services Limited with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Financial Services stocks →
Frequently asked questions
Is HDB Financial Services Limited (HDBFS) overvalued or undervalued?
What is the fair value of HDBFS?
What is the quality score of HDBFS?
What is the revenue of HDB Financial Services Limited (HDBFS)?
What is the net profit margin of HDBFS?
Does HDB Financial Services Limited pay a dividend?
How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
Track HDB Financial Services Limited and try Pro for 14 days
One email gets you 14 days of full Pro (review alerts, the 35,000+ stock screener, the diversification check) plus the monthly Top-25 report of the most undervalued quality stocks. No card, cancel anytime.
Zero risk: nothing is ever charged. After 14 days you decide whether to stay.