WallStSmart

HDFC Bank Limited ADR (HDB)vsShinhan Financial Group Co Ltd (SHG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shinhan Financial Group Co Ltd generates 464% more annual revenue ($15.98T vs $2.83T). SHG leads profitability with a 32.0% profit margin vs 26.8%. HDB appears more attractively valued with a PEG of 1.01. SHG earns a higher WallStSmart Score of 68/100 (B-).

HDB

Strong Buy

68

out of 100

Grade: B-

Growth: 6.0Profit: 7.5Value: 5.7Quality: 4.3
Piotroski: 5/9Altman Z: -0.11

SHG

Strong Buy

68

out of 100

Grade: B-

Growth: 6.7Profit: 7.5Value: 5.7Quality: 4.5
Piotroski: 5/9Altman Z: -0.30

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HDB4 strengths · Avg: 9.5/10
Operating MarginProfitability
40.5%10/10

Strong operational efficiency at 40.5%

Free Cash FlowQuality
$1.72T10/10

Generating 1.7T in free cash flow

Market CapQuality
$131.53B9/10

Large-cap with strong market position

Profit MarginProfitability
26.8%9/10

Keeps 27 of every $100 in revenue as profit

SHG4 strengths · Avg: 10.0/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
32.0%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
51.4%10/10

Strong operational efficiency at 51.4%

Areas to Watch

HDB4 concerns · Avg: 2.8/10
Price/BookValuation
10.3x4/10

Trading at 10.3x book value

Debt/EquityHealth
1.093/10

Elevated debt levels

Revenue GrowthGrowth
-1.8%2/10

Revenue declined 1.8%

Altman Z-ScoreHealth
-0.112/10

Distress zone — elevated risk

SHG3 concerns · Avg: 2.0/10
PEG RatioValuation
5.102/10

Expensive relative to growth rate

Free Cash FlowQuality
$-5.03T2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.302/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HDB

The strongest argument for HDB centers on Operating Margin, Free Cash Flow, Market Cap. Profitability is solid with margins at 26.8% and operating margin at 40.5%. PEG of 1.01 suggests the stock is reasonably priced for its growth.

Bull Case : SHG

The strongest argument for SHG centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 32.0% and operating margin at 51.4%.

Bear Case : HDB

The primary concerns for HDB are Price/Book, Debt/Equity, Revenue Growth.

Bear Case : SHG

The primary concerns for SHG are PEG Ratio, Free Cash Flow, Altman Z-Score.

Key Dynamics to Monitor

HDB profiles as a declining stock while SHG is a mature play — different risk/reward profiles.

SHG carries more volatility with a beta of 0.74 — expect wider price swings.

SHG is growing revenue faster at 6.6% — sustainability is the question.

HDB generates stronger free cash flow (1.7T), providing more financial flexibility.

Bottom Line

HDB scores higher overall (68/100 vs 68/100), backed by strong 26.8% margins. 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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Shinhan Financial Group Co Ltd

FINANCIAL SERVICES · BANKS - REGIONAL · China

Shinhan Financial Group Co., Ltd. provides financial products and services in South Korea and internationally. The company is headquartered in Seoul, South Korea.

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