HDFC Bank share price gained on Monday, August 31, 2026, after HDFC Bank’s managing director and chief executive Sashidhar Jagdishan opted out of being considered for reappointment. The largest private sector lender said in a regulatory filing that his current term ends on October 26, 2026. 61-year-old Jagdishan will retire after spending nearly three decades at the lender. Amid this, the stock opened in the green at Rs 721.60 against the previous close of Rs 720 on the BSE. It gained further to touch the intraday high of Rs 739.50, representing a gain of Rs 19.5 or 2.70 per cent from the previous close. Last seen, the stock was trading at Rs 730, and the market cap of the company stood at Rs 11,25,011.83 crore.
What’s behind the rally?
The stock has gained as most brokerages are bullish on it, even though it has already fallen around 27 per cent so far this year.ย
JP Morgan has an overweight rating on HDFC Bank with a target price of Rs 990. Bernstein has an outperform rating and a target of Rs 1,150. Kotak Institutional Equities has a buy rating and a target of Rs 1,050.
Jagdishan took over as CEO in 2020
Jagdishan took over as the CEO of HDFC Bank in October 2020 and is serving his second three-year term. He took over as CEO from Aditya Puri, who had led the bank since its founding in 1995.
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He conveyed his decision not to seek reappointment as Managing Director and Chief Executive Officer and reiterated it despite “persuasion” from the board, the exchange filing said.
The HDFC Bank board has said that it will fast-track the process for selection and appointment of Jagdishan’s successor “well within time”
“The board deeply appreciated his commitment, leadership, contribution to the growth and stability of the Bank and his role in successful completion of one of the largest mergers in corporate India,” the filing said.
The issue of Jagdishan’s reappointment has been a subject of intense speculation, especially after the surprising resignation of non-executive chairman Atanu Chakraborty in March this year, citing concerns about ethics and governance practices at the lender.
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