HDB vs. RY: HDFC Bank vs. Royal Bank of Canada Stock Comparison

Company Profile

HDFC Bank (HDB) and Royal Bank of Canada (RY) are both classified in the Diversified Banks sub-industry within the broader Banks industry, placing them in the closest GICS peer bucket.

Royal Bank of Canada (RY) trades as ordinary local shares, while HDFC Bank (HDB) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Price Performance

Cumulative Growth

Trailing Returns

Calendar-Year Returns

Performance Metrics

Risk Profile

Drawdown History

Return Distribution

Risk Metrics

Risk-Adjusted Performance

Risk-Return Positioning

Risk-Adjusted Metrics

Profitability

Royal Bank of Canada (RY) at 16.21% sits in the top ROE quartile, while HDFC Bank (HDB) at 11.01% is closer to the peer norm — stronger capital efficiency for RY.

Royal Bank of Canada (RY) at 33.87% keeps about the industry-typical share of revenue as profit, while HDFC Bank (HDB) at 26.53% retains only a bottom-quartile share.

Neither side reports a meaningful operating margin: for HDFC Bank (HDB) in Banks and Royal Bank of Canada (RY) in Banks, funding costs are part of the core business, so net margin and ROE are the cleaner profitability reads.

Profitability Metrics

Growth

Royal Bank of Canada (RY) at 15.73% is around its peer norm for revenue growth, while HDFC Bank (HDB) at 5.23% drops into the bottom quartile, signaling weaker demand or pricing momentum.

Neither HDFC Bank (HDB) nor Royal Bank of Canada (RY) reports a EPS growth value for this period, so a direct comparison isn't possible.

Growth Metrics

Financial Strength

current ratio doesn’t apply on either side: HDFC Bank (HDB) in Banks and Royal Bank of Canada (RY) 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-to-equity ratio is set aside for both: HDFC Bank (HDB) in Banks and Royal Bank of Canada (RY) 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

Dividends

Royal Bank of Canada (RY) at 3.23% earns its spot in the top quartile of its industry’s yields; HDFC Bank (HDB) at 52.63% is past the top of its own peer range — territory where a dividend-safety check matters more than the headline number.

HDFC Bank (HDB) at 23.43% pays out a band-typical share of earnings, while Royal Bank of Canada (RY) at 41.49% distributes more than its industry norm — less retained, thinner cover.

Dividend Metrics

Valuation

Both HDFC Bank (HDB) at 16.22 and Royal Bank of Canada (RY) at 17.58 sit in the richer earnings-multiple quartile for P/E ratio, so investors are paying more for TTM earnings than they pay for typical peers.

P/S ratio is set aside for both HDFC Bank (HDB) in Banks and Royal Bank of Canada (RY) 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.

Measured against book value, both HDFC Bank (HDB) at 10.01 and Royal Bank of Canada (RY) at 2.92 look expensive — each P/B ratio sits above its industry’s benchmark range.

Valuation Metrics