Shares of India's biggest lender by market-cap, HDFC Bank, fell as much as 2.3 per cent to Rs 2,138.1, as Q4 profit missed estimates on higher provsioning.

HDFC Bank had on Saturday reported an 18.2 per cent increase in its net profit for the fist quarter of the fiscal along with stable asset quality. The lender's net profit increased to Rs 4,601.44 crore for the quarter ended June 30, 2018, against Rs 3,893.84 crore in the same period last fiscal.

Jefferies says that strong cost control offsets weaker topline trajectory, and it has retained buy with a target price of Rs 2,530.

Kotak Institutional Securities says that HDFC Bank has adequate levers to generate healthy operating profit, and earnings growth. However, quality has been disappointing as the bank had to slow down operating expenses to offset NIM pressure.

It has maintained 'reduce' rating, and raised the target price to Rs 2,000 from Rs 1,900. About 44 analysts have rated the stock either 'strong buy' or 'buy'.

HDFC Bank's smaller rival Kotak Mahindra Bank Ltd missed June-quarter profit estimates as provisions surged. Up to last close, the stock had risen 16 per cent ytd vs Nifty Bank Index's gain of 5.22 per cent.

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