HDFC Bank shareholders got a much-needed breather on Tuesday as the stock price rose over 3% to Rs 727 after the bank submitted two candidates' names to the RBI for the role of CEO, formally beginning the succession process for Sashidhar Jagdishan, who is due to retire later this year.

The development gathers significance as the HDFC Bank stock had been hitting fresh 52-week lows for several consecutive sessions, even as analysts continue to maintain their Buy ratings after the stock has fallen around 29% so far in 2026.

How to trade HDFC Bank shares?

“HDFC Bank had broken below its important support zone of Rs 725–720 on the weekly chart and subsequently drifted lower. The stock is now trading around this zone. The pullback witnessed over the last two days came after the bank submitted two CEO candidates to the RBI, initiating the succession process. The development led to a gap-up opening today; however, the stock failed to sustain at higher levels, as indicated by the formation of a small-bodied bearish candle with a minor upper wick,” Sudeep Shah, Vice President and Head of Technical & Derivatives Research at SBI Securities, told ETMarkets.

“The overall trend remains weak, and any meaningful pullback or short-term reversal is likely only if the stock decisively takes out the 760–765 zone on the upside. This zone also coincides with the 20-week EMA, making it an important resistance zone. Until then, the bearish bias is likely to persist,” he added.

Ajit Mishra of Religare Broking said the lender’s recent bounce offers some respite after a prolonged decline, aided by the formal CEO succession process and improving investor sentiment.

The recovery is encouraging from a technical perspective, but sustained buying and a decisive breakout above the Rs 730–760 resistance zone remain crucial for a move towards Rs 800. Going ahead, deposit growth, margins, asset quality and management continuity will be key factors in determining whether the rebound develops into a meaningful trend reversal, Mishra added.

Who will become the new HDFC Bank CEO?

Jefferies said potential external candidates could include Anup Bagchi, currently CEO of ICICI Pru Life and previously an Executive Director at ICICI Bank overseeing retail banking; Paresh Sukthankar, who was earlier DMD at the bank before exiting in 2018; Vibha Padalkar, CEO of HDFC Life; Aseem Dhru, former HDFC banker and former CEO of SBFC; Rajiv Sabharwal, currently CEO of Tata Capital; and Amitabh Chaudhry, CEO of Axis Bank.

The brokerage said its conversations with investors suggest they are comfortable with a change in leadership, but believe the appointment of former leaders from PSU banks should be avoided as it could complicate the transition.

HDFC Bank share price performance

Stock market heavyweight HDFC Bank shares have been hitting fresh 52-week lows for several consecutive sessions, even as analysts continue to maintain their Buy ratings after the stock has fallen around 29% so far in 2026.

India’s largest private sector lender slipped to a fresh 52-week low of Rs 681.90 apiece on Friday, taking the decline to more than 33% from its record high of Rs 1,020.50 apiece touched in October last year.

HDFC Bank has emerged as the worst-performing constituent of the Nifty Bank index this year. The weakness has not been limited to the current year, with the lender’s shares also delivering poor returns over the past three and five years, declining nearly 14% and 9%, respectively.

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