Home Articles Research

Research

Research reports published by Hemindra Hazari.

EXECUTIVE SUMMARY. Indusind Bank, once a hot favourite of the market and of institutional investors, is fast losing its lustre. It has fallen by around 21% in the past year, and lost around US$ 1.4 bn for shareholders.  But right through this decline, while the market had...
EXECUTIVE SUMMARY. On the eve of HDFC Bank’s 2QFY2020 results (October 19, 2019), an analysis of its profitability for the last 5 years reveals that, while its ROA marginally declined as credit costs increased, it was the leveraging of operating costs which compensated to maintain the bank’s...
EXECUTIVE SUMMARY. On September 13, 2019, a court in Udaipur, Rajasthan took cognisance of  charges and issued bailable warrants against Sandeep Bakhshi, Chief Executive Officer (CEO), ICICI Bank and other officials of ICICI Prudential Life Insurance (ICICI Pru Life) for criminal conduct under the Indian Penal...
EXECUTIVE SUMMARY. The Finance Minister, Nirmala Sitharaman has announced the slashing of effective corporate tax to 25.17%, inclusive of all cesses and surcharges, effective from April 1, 2019, for domestic companies.  Along with other relief measures this will result in a revenue forgone of Rs 1,450 bn...
EXECUTIVE SUMMARY: The default by the unlisted Altico Capital India (erstwhile Clearwater Capital Partners India Private Limited), a “Systemically Important Non-Bank Finance Company” owned by marquee foreign shareholders, is a resoundingly loud and clear warning to the capital market on the precarious state of NBFCs and the...
EXECUTIVE SUMMARY. The prestigious Institutional Investor 2019 All-Asia ex-Japan Executive Team Awards have been announced. Remarkably, sell-side analysts selected Jairam Sridharan (Axis Bank) as the ‘Best CFO ’ in the banking category. This should be deeply troubling to the capital market. In effect, these highly experienced analysts...
EXECUTIVE SUMMARY. The credit rating agency, ICRA (an affiliate of Moody’s) has finally sacked Naresh Takkar, its chief executive officer (CEO).  This appears to be a belated response to pressure from the Securities and Exchange Board of India (SEBI), the capital markets regulator. Earlier, following an anonymous complaint to...
EXECUTIVE SUMMARY. R.C. Bhargava is the long-serving current chairman of Maruti Suzuki India, India’s largest automobile company. He was also an independent director of IL&FS, the failed infrastructure developer and non-bank finance company, from 1990 till 2018. At that point, the Indian government finally removed all the...
EXECUTIVE SUMMARY. The sharp slowdown in the Indian economy and the wide publicity to the production cutbacks and layoffs in the automobile sector have cast the spotlight on the retail sector of banking. The business model of HDFC Bank, India’s largest bank by market capitalization, is firmly...
EXECUTIVE SUMMARY. HDFC Bank’s low-cost liabilities strategy of focusing on huge numbers of new client acquisitions in the semi-urban and rural centres may be getting large numbers of new customers, but is not resulting in significant growth in current and savings account deposits (CASA). The pressure on...