HDFC Bank vs ICICI Bank: Which stock to buy after Q4 results 2025?

Share price of two India's leading private sector banks - HDFC Bank and ICICI Bank - are likely to remain in focus in Monday's trading session after both delivered robust financial results for the March quarter FY25 on Saturday, April 19.

HDFC Bank share price closed nearly 1.50 per cent higher at ₹1,905.80 on Thursday, whereas, ICICI Bank jumped over 3.37 per cent to ₹1,407 apiece. The Indian stock market remained closed on Friday on account of Good Friday.

According to Seema Srivastava Senior Research Analyst at SMC Global Securities, both banking stocks have become solid contenders for long-term investment after its fourth quarter results. However, their performance reveals nuanced differences that investors should consider, she said.

HDFC Bank vs ICICI Bank Q4 results 2025

While comparing financial results of both banking stock, Seema Srivastava said -

Revenue and Profitability

HDFC Bank reported net revenue of ₹11,440.9 billion, slightly lower YoY due to the absence of a one-time gain from HDFC Credila. However, net interest income rose by 10.3% to ₹11,320.7 billion, showing steady growth. ICICI Bank outperformed on profitability, with net profit up 18% YoY in Q4 and 15.5% for FY2025 to ₹47,227 crore. Its strong 11% growth in net interest income and a high net interest margin (NIM) of 4.41% reflect efficient asset utilization, compared to HDFC Bank’s NIM of 3.54% (core NIM 3.46%).

Balance Sheet Strength and Growth

HDFC Bank boasts a larger balance sheet size at ₹39,102 billion vs. ICICI’s total advances of ₹13,41,766 crore. HDFC’s deposit base also leads at ₹25,280 billion average deposits, compared to ICICI’s ₹14,86,635 crore. However, ICICI showed higher loan portfolio growth (13.3% vs. HDFC’s undisclosed growth), especially in business banking (33.7%).

Asset Quality and Capital Strength

HDFC has superior asset quality, with Gross NPA at 1.33% and Net NPA at 0.43%, versus ICICI’s 1.67% and 0.39% respectively. Both have strong provisioning coverage. In terms of capital, HDFC leads with CAR at 19.6% and CET1 at 17.2%, compared to ICICI’s 16.55% and CET1 at 15.94%.

Dividends and Branch Expansion

HDFC declared a higher dividend of ₹22/share vs. ICICI’s ₹11/share. ICICI aggressively expanded with 241 new branches.

Conclusion

HDFC Bank offers size, stability, and superior asset quality, ideal for conservative long-term investors. ICICI Bank shows stronger profit momentum, better NIMs, and faster portfolio growth, suitable for investors seeking higher returns with moderate risk. A diversified position in both may offer balanced exposure.

HDFC Bank vs ICICI Bank - Which stock to buy?

Anshul Jain, Head of Research at Lakshmishree Investment and Securities, said that HDFC Bank has tested its all-time high this past week, encountering supply pressure in the 1880–1910 zone. Despite this, the structure remains bullish with strong momentum, indicating a likely move toward the 1945–1965 levels in the near term. However, gains may be gradual as supply persists at higher levels.

ICICI Bank, by contrast, looks more promising in terms of percentage return. The stock has not only hit all-time highs but also broken out of a rectangle consolidation pattern—a technically strong signal. Backed by rising momentum, ICICI Bank now eyes the 1500 level, offering a more favorable risk-reward setup in the short term, he added.

Jain further explained that both banks are technically strong, ICICI Bank stands out with a cleaner breakout and greater upside potential. “For traders looking at short- to medium-term opportunities, ICICI may offer better returns relative to risk in the current setup,” he said.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.