HDFC Bank shares on Monday surged over two per cent in the early trade on the Bombay Stock Exchange after the private sector lender posted 31 per cent jump in third quarter net profit.

Shares of HDFC Bank opened strong at Rs. 1,700 and surged 2.19 per cent to a high of Rs. 1,728 on the Bombay Stock Exchange (BSE).

The country’s second major private sector lender, HDFC Bank, on Friday reported 31 per cent jump in profit at Rs. 818.50 crore for the third quarter (Q3) of FY’10, supported by strong growth in fee-based revenue and net interest income.

“HDFC bank would continue to enjoy the valuation premium vis-a-vis its peers on the back of high and stable margins, high RoE, cleaner asset quality and a large share of fee- income to its total income. It has consistently delivered a growth of around 30 per cent (YoY) in net profit for the past 31 quarters,” Kotak Securities said in a report.

On the National Stock Exchange HDFC Bank jumped 2.24 per cent to a high of Rs. 1,732.05 in the morning trade. Nearly five lakh shares changed hands on both the bourses.

After opening on a flat note, the BSE Sensex was quoting higher by 107 points at 17,660.37.

Keywords: HDFC BanksharesBSESensex

More In: Companies | Business