BENGALURU (Reuters) - HDFC Bank's shares rose 1.5% on Monday, after India's top private lender reported an uptick in its net interest margin for a second consecutive quarter over the weekend.

HDFC Bank gained the most in percentage terms on the Nifty Bank index, which declined 0.1%.

The bank's standalone net profit for the first fiscal quarter beat analysts' estimates and its core net interest margin(NIM) on total assets rose to 3.47% from 3.44% in the previous quarter.

"We are encouraged to see HDFC Bank could deliver another three-basis-point quarter-on-quarter expansion in NIMs during Q1. This comes after a four-basis-point expansion in the fourth quarter of fiscal 2023-24," analysts at Jefferies said.

HDFC Bank's NIM uptick reflects repayment of higher cost liabilities of HDFC Ltd and a fall in the share of low-yielding corporate loans, they added.

HDFC Bank has lost 4.5% in 2024 compared to a 12.5% rise in Nifty 50 and an 8% gain in the bank index.

(Reporting by Nishit Navin; Editing by Janane Venkatraman)