HDB vs. SHG: HDFC Bank vs. Shinhan Financial Stock Comparison

Company Profile

HDFC Bank (HDB) and Shinhan Financial (SHG) 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 Shinhan Financial (SHG) trade as ADRs — their core financials are comparable, but keep FX, depositary-program fees, and dividend withholding in view for each.

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

HDFC Bank (HDB) at 11.01% is around its peer norm for ROE, while Shinhan Financial (SHG) at 8.94% drops into the bottom quartile, signaling weaker returns on shareholders’ equity.

Both HDFC Bank (HDB) at 26.53% and Shinhan Financial (SHG) at 26.15% let more of each sales dollar slip away before the bottom line than peers do, sitting in the lower net margin quartile of their industries.

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

Profitability Metrics

Growth

Both HDFC Bank (HDB) at 5.23% and Shinhan Financial (SHG) at 4.66% post bottom-quartile revenue growth versus peers, pointing to weaker demand or pricing momentum than typical rivals.

Only one side can be read here: Shinhan Financial (SHG) reports EPS growth of 16.24%, ranked against its industry; HDFC Bank (HDB) has no EPS growth figure this period.

Growth Metrics

Financial Strength

current ratio doesn’t apply on either side: HDFC Bank (HDB) in Banks and Shinhan Financial (SHG) 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 Shinhan Financial (SHG) 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

Both HDFC Bank (HDB) at 52.63% and Shinhan Financial (SHG) at 4,638.28% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.

Both HDFC Bank (HDB) at 23.43% and Shinhan Financial (SHG) at 25.22% keep payout ratio within their industries’ typical mid-ranges — dividend policies that share earnings without consuming too much of them.

Dividend Metrics

Valuation

Shinhan Financial (SHG) at 7.98 sits in the cheaper P/E ratio quartile, while HDFC Bank (HDB) at 16.22 sits in the richer quartile — a clear split in what investors pay for each dollar of trailing earnings.

P/S ratio is set aside for both HDFC Bank (HDB) in Banks and Shinhan Financial (SHG) 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.

Shinhan Financial (SHG) at 0.66 sits in the lower P/B ratio quartile relative to book while HDFC Bank (HDB) at 10.01 prices above its industry range — a wide valuation gap against assets.

Valuation Metrics