HDFC Bank"s net worth was 29% of ICICI Bank in 2009.After 10 years,HDFC Bank"s net worth is 39 % more than ICICI bank. ICICI Bank Profit after tax for ICICI Bank is still less than 1% of its PAT in 2009 but PAT of HDFC Bank is 940 % of its PAT in 2009....
That is why HDFC Bank commands the premium valuations. Consistancy and management quality is important in stock investments.
( This is based on figures someone shared on whattsapp...)
Smart_trade