HSBC upgrades Kotak Mahindra Bank stock to Buy at INR 520.00

HSBC upgraded Kotak Mahindra Bank stock to Buy and raised its target from INR 430.00 to INR 520.00 on October 7, 2026, according to Moneycontrol. The upgrade followed stronger loan growth and greater clarity over the lender's future leadership.

Loan growth sets the tone

Kotak Mahindra Bank's end-of-period net advances rose 24.70 percent year on year to INR 5.77 trillion in the second quarter ended September 30, 2026. Deposits increased 23.20 percent year on year to INR 6.51 trillion, while CASA deposits grew 11.30 percent to INR 2.39 trillion, according to Moneycontrol.

The growth comparison matters because HSBC raised its earnings per share estimates by 1.00 percent to 14.00 percent for fiscal years 2027 through 2029. The bank's stronger balance-sheet momentum gives the upgrade a measurable operating basis rather than relying only on valuation.

Broker targets move higher

Goldman Sachs raised its target from INR 416.30 to INR 540.00 and reiterated its Buy rating, according to Business Today on October 6, 2026. Goldman also cited expected earnings per share growth of 19.00 percent annually from fiscal 2026 through fiscal 2029.

Leadership continuity is another part of the valuation discussion. Moneycontrol reported that Anup Kumar Saha is due to become managing director and chief executive officer for a three-year term beginning January 1, 2027. That date gives investors a defined transition point for assessing execution.

NSE price follows the update

On the NSE, Kotak Mahindra Bank closed at INR 440.00 on October 7, 2026, after reaching an intraday high of INR 441.50 and versus a prior close of INR 431.90. The bank's market capitalization was INR 4.3 trillion as of October 8, 2026, while the latest finance quote showed INR 433.90 on the NSE at 3:15 p.m. IST.

For investors, the key test is whether the 24.70 percent advance growth and 23.20 percent deposit growth translate into sustainable earnings improvement after the leadership transition. The target revisions provide a clear valuation reference, but the operating figures remain the more direct measure of execution.