WallStSmart

HDFC Bank Limited ADR (HDB)vsHome BancShares Inc (HOMB)

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Smart Verdict

WallStSmart Research — data-driven comparison

HDFC Bank Limited ADR generates 266184% more annual revenue ($2.85T vs $1.07B). HOMB leads profitability with a 44.5% profit margin vs 26.2%. HDB appears more attractively valued with a PEG of 1.01. HDB earns a higher WallStSmart Score of 78/100 (B+).

HDB

Strong Buy

78

out of 100

Grade: B+

Growth: 8.0Profit: 7.5Value: 8.7Quality: 5.3
Piotroski: 3/9Altman Z: -0.14

HOMB

Strong Buy

69

out of 100

Grade: B-

Growth: 6.7Profit: 7.5Value: 7.3Quality: 5.3
Piotroski: 4/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDBUndervalued (+11.2%)

Margin of Safety

+11.2%

Fair Value

$36.29

Current Price

$25.79

$10.50 discount

UndervaluedFair: $36.29Overvalued
HOMBUndervalued (+68.6%)

Margin of Safety

+68.6%

Fair Value

$94.66

Current Price

$26.62

$68.04 discount

UndervaluedFair: $94.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HDB5 strengths · Avg: 8.8/10
Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Market CapQuality
$130.27B9/10

Large-cap with strong market position

Profit MarginProfitability
26.2%9/10

Keeps 26 of every $100 in revenue as profit

P/E RatioValuation
17.6x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
26.4%8/10

Revenue surging 26.4% year-over-year

HOMB5 strengths · Avg: 9.6/10
P/E RatioValuation
11.0x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
44.5%10/10

Keeps 45 of every $100 in revenue as profit

Operating MarginProfitability
56.9%10/10

Strong operational efficiency at 56.9%

EPS GrowthGrowth
20.3%8/10

Earnings expanding 20.3% YoY

Areas to Watch

HDB3 concerns · Avg: 2.7/10
Debt/EquityHealth
1.093/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
-0.142/10

Distress zone — elevated risk

HOMB1 concerns · Avg: 2.0/10
PEG RatioValuation
3.012/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : HDB

The strongest argument for HDB centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 26.2% and operating margin at 34.8%. Revenue growth of 26.4% demonstrates continued momentum.

Bull Case : HOMB

The strongest argument for HOMB centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 44.5% and operating margin at 56.9%. Revenue growth of 10.8% demonstrates continued momentum.

Bear Case : HDB

The primary concerns for HDB are Debt/Equity, Piotroski F-Score, Altman Z-Score.

Bear Case : HOMB

The primary concerns for HOMB are PEG Ratio.

Key Dynamics to Monitor

HDB profiles as a growth stock while HOMB is a mature play — different risk/reward profiles.

HOMB carries more volatility with a beta of 0.76 — expect wider price swings.

HDB is growing revenue faster at 26.4% — sustainability is the question.

Monitor BANKS - REGIONAL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

HDB scores higher overall (78/100 vs 69/100), backed by strong 26.2% margins and 26.4% revenue growth. HOMB offers better value entry with a 68.6% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

HDFC Bank Limited ADR

FINANCIAL SERVICES · BANKS - REGIONAL · USA

HDFC Bank Limited offers various banking and financial services to individuals and businesses in India, Bahrain, Hong Kong and Dubai. The company is headquartered in Mumbai, India.

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Home BancShares Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Home Bancshares, Inc. (Conway, AR) is the banking holding company of Centennial Bank offering commercial and retail banking and related financial services to real estate companies, developers and investors, individuals and municipalities. The company is headquartered in Conway, Arkansas.

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