HDB vs. HSBC: HDFC Bank vs. HSBC Stock Comparison
How do HDFC Bank (HDB) and HSBC (HSBC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
HDFC Bank (HDB) and HSBC (HSBC) are both classified in the Diversified Banks sub-industry within the broader Banks industry, placing them in the closest GICS peer bucket.
Both HDFC Bank (HDB) and HSBC (HSBC) trade as ADRs — their core financials are comparable, but keep FX, depositary-program fees, and dividend withholding in view for each.
| Profile Item | HDB | HSBC |
|---|---|---|
| Name | HDFC Bank Ltd. ADR | HSBC Holdings plc Sponsored ADR |
| Country/Region | India | United Kingdom |
| GICS Sector | Financials | Financials |
| GICS Industry Group | Banks | Banks |
| GICS Industry | Banks | Banks |
| GICS Sub-Industry | Diversified Banks | Diversified Banks |
| Market Capitalization | 129.32 billion USD | 297.66 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | July 20, 2001 | July 16, 1999 |
| Security Type | ADR | ADR |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Total Return (1Y) | -27.88% | 32.02% |
| Total Return (3Y, Annualized) | -1.98% | 43.61% |
| Total Return (5Y, Annualized) | -5.21% | 33.35% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Volatility (1Y, Annualized) | 30.79% | 28.54% |
| Beta (5Y) | 0.57 | 0.54 |
| Max Drawdown (5Y) | -45.21% | -31.80% |
| Avg. Volume (3M) | 9.67M | 1.58M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Sharpe Ratio (1Y) | -1.04 | 0.97 |
| Sortino Ratio (1Y) | -1.40 | 1.52 |
Profitability
ROE (TTM)
HSBC (HSBC) at 14.22% sits in the top ROE quartile, while HDFC Bank (HDB) at 11.01% is closer to the peer norm — stronger capital efficiency for HSBC.
HDB
Banks industry group
11.01%
- Max
- 19.84%
- Q3
- 13.67%
- Median
- 11.49%
- HDB
- 11.01%
- Q1
- 9.50%
- Min
- 3.64%
HSBC
Banks industry group
14.22%
- Max
- 19.84%
- HSBC
- 14.22%
- Q3
- 13.67%
- Median
- 11.49%
- Q1
- 9.50%
- Min
- 3.64%
Net Margin (TTM)
HSBC (HSBC) at 41.16% keeps a top-quartile share of each sales dollar as profit, while HDFC Bank (HDB) at 26.53% keeps a bottom-quartile share.
HDB
Banks industry group
26.53%
- Max
- 47.19%
- Q3
- 35.25%
- Median
- 31.21%
- Q1
- 27.11%
- HDB
- 26.53%
- Min
- 14.93%
HSBC
Banks industry group
41.16%
- Max
- 47.19%
- HSBC
- 41.16%
- Q3
- 35.25%
- Median
- 31.21%
- Q1
- 27.11%
- Min
- 14.93%
Operating Margin (TTM)
Neither side reports a meaningful operating margin: for HDFC Bank (HDB) in Banks and HSBC (HSBC) in Banks, funding costs are part of the core business, so net margin and ROE are the cleaner profitability reads.
Profitability Metrics
| Metric | HDB | HSBC |
|---|---|---|
| ROE (TTM) | 11.01% | 14.22% |
| ROA (TTM) | 1.66% | 0.84% |
| Net Margin (TTM) | 26.53% | 41.16% |
| Operating Margin (TTM) | -- | -- |
| Gross Margin (TTM) | -- | -- |
Growth
Revenue Growth
Both HDFC Bank (HDB) at 5.23% and HSBC (HSBC) at 5.38% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.
EPS Growth
Only one side can be read here: HSBC (HSBC) reports EPS growth of -3.23%, ranked against its industry; HDFC Bank (HDB) has no EPS growth figure this period.
Growth Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Revenue Growth (YoY) | 5.23% | 5.38% |
| Revenue Growth (3Y CAGR) | 27.45% | 9.75% |
| EPS Growth (YoY) | -- | -3.23% |
| EPS Growth (3Y CAGR) | -- | 17.49% |
Financial Strength
Current Ratio (MRQ)
current ratio doesn’t apply on either side: HDFC Bank (HDB) in Banks and HSBC (HSBC) in Banks both report balance sheets without a current/non-current split, so their short-term liquidity is better judged through regulatory and funding measures.
Debt / Equity (MRQ)
debt-to-equity ratio is set aside for both: HDFC Bank (HDB) in Banks and HSBC (HSBC) in Banks run businesses where balance-sheet leverage is part of the model, so capital-adequacy and funding measures are the better gauges of balance-sheet risk.
Financial Strength Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Current Ratio (MRQ) | -- | -- |
| Debt / Equity (MRQ) | -- | -- |
| Net Debt / EBITDA | -- | -- |
Dividends
Dividend Yield (TTM)
HDFC Bank (HDB) at 52.63% yields beyond its industry’s entire range — a level that invites a dividend-safety check — while HSBC (HSBC) at 0.86% sits in the bottom quartile of its peers.
HDB
Banks industry group
52.63%
- HDB
- 52.63%
- Max
- 5.79%
- Q3
- 3.18%
- Median
- 2.39%
- Q1
- 1.20%
- Min
- 0.00%
HSBC
Banks industry group
0.86%
- Max
- 5.79%
- Q3
- 3.18%
- Median
- 2.39%
- Q1
- 1.20%
- HSBC
- 0.86%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
HDFC Bank (HDB) at 23.43% pays out a band-typical share of earnings, while HSBC (HSBC) at 53.57% distributes more than its industry norm — less retained, thinner cover.
HDB
Banks industry group
23.43%
- Max
- 70.75%
- Q3
- 41.28%
- Median
- 29.26%
- HDB
- 23.43%
- Q1
- 18.98%
- Min
- 0.00%
HSBC
Banks industry group
53.57%
- Max
- 70.75%
- HSBC
- 53.57%
- Q3
- 41.28%
- Median
- 29.26%
- Q1
- 18.98%
- Min
- 0.00%
Dividend Metrics
| Metric | HDB | HSBC |
|---|---|---|
| Dividend Yield (TTM) | 52.63% | 0.86% |
| Dividend Payout Ratio (TTM) | 23.43% | 53.57% |
Valuation
P/E Ratio (TTM)
HSBC (HSBC) at 11.38 is near its industry’s usual P/E ratio, while HDFC Bank (HDB) at 16.22 sits in the richer quartile — HDB needs stronger growth or earnings quality to justify the premium.
HDB
Banks industry group
16.22
- Max
- 18.16
- HDB
- 16.22
- Q3
- 13.75
- Median
- 11.81
- Q1
- 10.64
- Min
- 6.49
HSBC
Banks industry group
11.38
- Max
- 18.16
- Q3
- 13.75
- Median
- 11.81
- HSBC
- 11.38
- Q1
- 10.64
- Min
- 6.49
P/S Ratio (TTM)
P/S ratio is set aside for both HDFC Bank (HDB) in Banks and HSBC (HSBC) in Banks: without a conventional revenue line, pricing per dollar of sales isn’t meaningful, and book- or earnings-based multiples make the better comparison.
P/B Ratio (MRQ)
Measured against book value, both HDFC Bank (HDB) at 10.01 and HSBC (HSBC) at 6.87 look expensive — each P/B ratio sits above its industry’s benchmark range.
HDB
Banks industry group
10.01
- HDB
- 10.01
- Max
- 2.28
- Q3
- 1.58
- Median
- 1.32
- Q1
- 1.10
- Min
- 0.59
HSBC
Banks industry group
6.87
- HSBC
- 6.87
- Max
- 2.28
- Q3
- 1.58
- Median
- 1.32
- Q1
- 1.10
- Min
- 0.59
Valuation Metrics
| Metric | HDB | HSBC |
|---|---|---|
| P/E Ratio (TTM) | 16.22 | 11.38 |
| P/S Ratio (TTM) | -- | -- |
| P/B Ratio (MRQ) | 10.01 | 6.87 |
| Free Cash Flow Yield (TTM) | -- | -- |