HDFC Bank vs ICICI Bank: Which stock to buy post Q1 results 2025?

Shares of HDFC Bank and ICICI Bank will remain in focus in Monday's trading session after private banks reported financial results for the quarter ending on June 30, 2025 last week.

Private lender HDFC Bank share price have gained over 19 per cent in six months and one year. Meanwhile, ICICI Bank share price has surged nearly 15 per cent in one year.

Private sector heavyweights HDFC Bank and ICICI Bank have delivered strong Q1 FY26 results, each highlighting different strengths.

HDFC Bank reported a healthy 12.24% YoY jump in standalone profit after tax (PAT) at ₹18,155 crore, supported by strong deposit mobilisation and an uptick in other income.

However, the consolidated profit saw a slight dip of 1.31% YoY. Despite steady loan growth and robust deposit growth (up 16.2% YoY), the bank saw mild deterioration in asset quality, with GNPA and NNPA rising marginally. Net Interest Margin (NIM) also slipped to 3.35% from 3.6% YoY.

HDFC Bank's board has approved a special dividend of ₹5 per share, with the record date set for Friday, July 25. Additionally, the board has sanctioned the bank's first-ever bonus issue in a 1:1 ratio, granting shareholders one bonus share for each share they own. The record date for the bonus issue will be announced later.

ICICI Bank, on the other hand, delivered an even stronger performance. Standalone PAT rose 15.5% YoY to ₹12,768 crore, while consolidated PAT increased 15.9% to ₹13,558 crore.

The bank reported a 10.6% growth in NII to ₹21,635 crore and demonstrated a notable improvement in asset quality: GNPA declined to 1.67% and NNPA to 0.41%, compared to 2.15% and 0.43% a year ago.

Although NIM dipped slightly, the improvement in asset quality, healthy loan and deposit growth, and robust core profitability paint a fundamentally bullish picture.

Anuj Gupta, Director, Ya Wealth Research & Advisory recommends investment in both the stocks as the quartely numbers posted by both the private lenders are positive.

“ On the basis of number both are looking positive but here very difficult to choose as both are moving as per same pace. Investors can invest 50% in one and another 50% in another stock,” Gupta said.

On the other hand, Sugandha Sachdeva- Founder-SS WealthStreet, says that ICICI Bank appears stronger in the short to medium term from a technical perspective.

“ ICICI Bank is showing superior momentum both fundamentally and technically, backed by improved asset quality and bullish chart structure. The stock has formed a double bottom near ₹1380 and a tweezer bottom at ₹1410, validating key support near the lower Bollinger Band. As long as the stock sustains above ₹1400, it could head higher toward ₹1650 levels in the medium term. A protective stop should be maintained at ₹1250 on a closing basis,” Sachdeva said.

Conversely, HDFC Bank seems to be facing resistance near ₹2020–2030 levels, she added.

Sachdeva further went on to say that the stock looks top-heavy with the RSI declining and price facing rejection near the upper Bollinger band.

“Immediate support lies around ₹1920, and a breach could open downside potential toward ₹1820. However, these dips could offer accumulation opportunities for long-term investors. A closing stop loss should be kept at ₹1750 levels for a target of Rs.2200 from a medium to long-term perspective,” she said.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.

Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.

Download the Mint app and read premium stories