MUMBAI: Goldman Sachs has downgraded Housing Development Finance Corp to "sell" from "neutral" and retained the price target of Rs 595.

The stock has outperformed the benchmark BSE index and the upside in the stock has already been priced in, Goldman Sachs said in a note. There are no near-term catalysts for the stock as intensifying competition limits ability to raise lending rates and rising wholesale borrowing costs from low levels exerts pressure on spreads. At 9:40 a.m. shares were up 0.27 percent at Rs 629.70.