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Zacks #1 Stocks on the Move 05/17/2013

Company Name Symbol %Change
VIASAT INC VSAT
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OLD SECOND B OSBC
5.76%
GAMCO INVEST GBL
4.61%
CORNING INC GLW
4.47%
SYNCHRONOSS SNCR
4.23%

HDFC Bank, Ltd. - ADS (HDB)

by Zacks Equity Research

January 12, 2012 | Comments : 0 Recommended this article: (0)
HDB

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HDFC Bank's (HDB) higher operating expenses were the headwind in the company's most recently reported quarter. The company is still exposed to threats related to higher cost of funds. Growing competition in the retail space with the re-entry of peers is an added future concern.

Our six-month target price of $25.00 per ADS equates to about 22.3x our earnings estimate for fiscal 2012. This target price implies an expected negative total return of 7.6% over that period. This is consistent with our long-term Underperform recommendation on the ADSs.

Additionally, the quantitative Zacks Rank for HDFC Bank is currently #5, indicating a significant likelihood of downward pressure on the ADSs over the near term.

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