HDFC Bank shares gain 1.6% in 1 month; what Macquarie says on CEO succession

HDFC Bank shares traded in positive territory in afternoon deals on Wednesday, September 23.

At 12:43 PM, the stock was up 0.34% at ₹741.10 on the NSE. Data show that the scrip has rallied 3.67% in five sessions, and 1.66% over the past 30 days.

The stock has been on investors' radar amid the ongoing CEO succession process, with the RBI reportedly seeking feedback on the candidature of Anup Bagchi, currently MD and CEO of ICICI Prudential Life Insurance.

According to news reports, HDFC Bank’s board has submitted two names to the RBI for the top post, with Bagchi and Deputy Managing Director Kaizad Bharucha emerging as the reported contenders. No final decision has been taken yet, with the RBI's approval being closely watched by investors.

What Macquarie said on HDFC Bank

The investment firm notes that the RBI is seeking feedback from IRDAI on Anup Bagchi’s candidature. Bagchi currently heads ICICI Prudential Life, and his insurance stint is seen as an addition to his banking credentials. Macquarie noted that any external CEO appointment could lead to senior management exits, making a stabilising leadership team an immediate priority.

HDFC Bank Q2 FY27 earnings schedule

The country’s largest private-sector bank, HDFC Bank, released its earnings schedule for the second quarter of the 2026-27 financial year (Q2 FY27) on Tuesday, September 22.

What happened in August 2026

In late August 2026, HDFC Bank's managing director and chief executive Sashidhar Jagdishan opted out of being considered for reappointment after his current term ends on October 26.

Jagdishan, 61, will retire from the bank on October 26 after spending nearly three decades at the lender.

After taking over as the bank CEO in October 2020, Jagdishan is serving his second three-year term as the lender's head.

Key events during Jagdishan's tenure

Jagdishan took over as CEO of the bank from Aditya Puri, who had led the bank since its founding in 1995. Within months, it announced the merger of its mortgage major parent, HDFC, with itself, leading to huge expansion in the asset book and worries over business performance, HDFC liability payouts, and compressed net interest margins of the combined entity.

The management, however, said the merger will accrue benefits over the long term.

The issue of Jagdishan's reappointment has been a subject of intense speculation, especially after the surprising resignation of non-executive chairman Atanu Chakraborty in March this year, citing concerns on ethics and governance practices at the lender.

In late July, the bank board found shortcomings in the deposit arrangements with the Maharashtra State Road Development Corporation (MSRDC) and also slapped a fine of Rs 1 lakh each on Jagdishan and other key executives, even though it said that their actions were not mala fide.

It was alleged that the bank paid, over and above the card rate, for getting high-value deposits from the state-run body and routed them as marketing spends.

Besides, the bank has also faced allegations of mis-selling Credit Suisse's AT-1 bonds to diaspora clients from its Dubai DIFC branch, which led the local regulator to prohibit the bank from onboarding new customers or conducting new business last year.

In an interview after his sudden exit, Chakraborty rued that the bank did not act in time in the AT-1 bonds case, and compensation practices have to be in sync with value systems to ensure that any mis-selling does not happen.

There have also been reports of non-resident Indians being stuck with over $100 million in investments in a platform floated by Carlisle Asset Management sold as a high-yield product, but clients are unable to redeem their investments.

During his tenure, Jagdishan had also faced allegations of graft in the Lilavati Hospitals matter, which was eventually dismissed by the Bombay high court.