WallStSmart

HDFC Bank Limited ADR (HDB)vsItau Unibanco Banco Holding SA (ITUB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HDFC Bank Limited ADR generates 1948% more annual revenue ($2.85T vs $138.95B). ITUB leads profitability with a 32.3% 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

ITUB

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 8.0Value: 8.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

HDBUndervalued (+12.4%)

Margin of Safety

+12.4%

Fair Value

$36.79

Current Price

$25.39

$11.40 discount

UndervaluedFair: $36.79Overvalued
ITUBOvervalued (-10.1%)

Margin of Safety

-10.1%

Fair Value

$8.69

Current Price

$7.84

$0.85 premium

UndervaluedFair: $8.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HDB4 strengths · Avg: 9.0/10
Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Market CapQuality
$136.56B9/10

Large-cap with strong market position

Profit MarginProfitability
26.2%9/10

Keeps 26 of every $100 in revenue as profit

Revenue GrowthGrowth
26.4%8/10

Revenue surging 26.4% year-over-year

ITUB6 strengths · Avg: 9.7/10
P/E RatioValuation
10.5x10/10

Attractively priced relative to earnings

Profit MarginProfitability
32.3%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Free Cash FlowQuality
$45.01B10/10

Generating 45.0B in free cash flow

Market CapQuality
$88.83B9/10

Large-cap with strong market position

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

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

ITUB1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

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 : ITUB

The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.3% and operating margin at 37.3%. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : HDB

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

Bear Case : ITUB

The primary concerns for ITUB are EPS Growth.

Key Dynamics to Monitor

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

HDB carries more volatility with a beta of 0.36 — 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 76/100), backed by strong 26.2% margins and 26.4% revenue growth. 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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Itau Unibanco Banco Holding SA

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

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