1. ICICI Bank:
KR Choksey maintains a ‘Buy’ rating on this bank with a target price of Rs 1,662. This indicates an upside of 16.2%. In Q4FY25, the bank’s net interest income (NII) grew by 11% YoY to Rs 21,192.9 crore. Advances increased by 13.3%, supported by strong growth in the corporate loan, credit card, and mortgage segments. However, the bank’s current account savings account (CASA) ratio stood at 38.4% for the quarter, slightly lower than 38.9% in Q4FY24.
The company's management believes that deposit growth will stay strong, helped by improved liquidity in the system. ICICI Bank recently cut its savings account interest rates by 25 bps. Balances up to Rs 50 lakh will now earn 2.75% interest, while higher balances will earn 3.25%. The management expects this will make it easier to pass on lower interest rates and reduce the bank’s cost of raising funds.
Analyst Ishank Gupta said, “Despite industry-wide credit pressures, the bank kept its asset quality strong, with GNPA at 1.7% and NNPA at 0.4%, helped by careful lending and strong provisions.” He also noted that the bank’s diversified loan portfolio and focus on high-yield segments, like corporate loans and credit cards, provide a foundation for continued profitability.
2. Home First Finance:
Motilal Oswal reiterates its ‘Buy’ rating on this housing finance company with a target price of Rs 1,500, indicating an upside of 17.7%. The company raised Rs 1,250 crore through a qualified institutional placement (QIP) in April 2025. Analysts Abhijit Tibrewal, Nitin Aggarwal and Raghav Khemani note that this capital will help Home First expand its business over the next 3–4 years, and strengthen its leadership in the affordable housing finance (AHF) segment.
Home First Finance has expanded its geographic reach to reduce concentration risk and target emerging markets. It has seen some success, as the share of the top five states in total assets under management (AUM) fell from 78% in FY22 to 69% as of December 2024. The company plans to open 30–40 new branches in FY26, focusing on states like Uttar Pradesh, Madhya Pradesh, and Rajasthan. This expansion aims to capitalise on the growing housing demand in tier 2 and tier 3 cities.
The company has surpassed Rs 10,000 crore in AUM and is likely to seek a credit rating upgrade after the recent capital raise. A higher credit rating would help reduce its borrowing costs. Tibrewal, Aggarwal, and Khemani project a CAGR of 26% for AUM and 31% for net profit over FY25-27.
3. Atul:
Emkay initiates a ‘Buy’ rating on this specialty chemicals company with a target price of Rs 8,500. This indicates a potential upside of 25.7%. Atul has invested around Rs 2,000 crore over FY22–24 to expand capacity in existing products, including liquid epoxy resin (LER) and caustic soda. It commissioned a new 50 kilo tonnes per annum (ktpa) LER plant, increasing total LER capacity to 80 ktpa, and also set up a 300 tonnes per day (tpd) caustic soda plant.
Additionally, the company has invested in backward integration into key products like mono chloro acetic acid (MCA) to support margin improvement. Analysts Meet Vora and Meet Gada note that 20–40% of existing capacity across various products is still underutilised. They highlight that the new capacities, along with the ramp-up of some underutilised ones, could generate around Rs 25,000–30,000 crore in revenue over the next 2–3 years, driven purely by volume growth.
Atul’s share price has declined by 11.5% over the past six months. Vora and Gada expect Atul to generate around Rs 2,000 crore in operating cash flow over the next three years. A significant portion of this is likely to be reinvested in growth-related capex, although some of the plans are still being finalised. They project a revenue and net profit CAGR of 15% and 37%, respectively, over FY25–27.
4. Ujjivan Small Finance:
Axis Direct initiates a ‘Buy’ rating on this microfinance bank with a target price of Rs 49. This indicates a potential upside of 11.6%. Analysts Dnyanada Vaidya and Pranav Nawale highlight that the bank’s collection efficiency (CE) and credit costs have improved QoQ across all states.
Analysts believe that microfinance loan (MFI) stress is gradually decreasing due to the rise in secured lending products across its key states, including Punjab, Haryana, Bihar, Rajasthan, Jharkhand, and West Bengal. They expect MFI stress to ease by H1FY26, driven by improvements in asset quality.
The bank’s management is aiming to shift the majority of its portfolio mix towards secured micro mortgage products, such as gold loans and vehicle finance, to balance the portfolio mix and reduce risk. In FY25, the non-MFI portfolio rose by 50% YoY.
Vaidya and Nawale expect net interest margins (NIMs) to remain between 8.5-8.8% and return on assets (ROA) to range from 1.9-2.1% by FY27. This outlook is supported by a focus on low-cost CASA deposits and benefits from the ongoing rate-cut cycle.
5. Tata Consultancy Services:
Geojit BNP Paribas retains its ‘Buy’ rating on this IT software company with a target price of Rs 3,671, indicating an upside potential of 5.7%. The company’s Q4FY25 revenue rose 5.3% YoY to Rs 64,479 crore, driven by strong traction in emerging markets and deal wins.
In Q4FY25, TCS’ India revenue grew by 33.1% YoY, driven by increased state government investments in digital platforms for education automation and employability. However, EBITDA declined by 1.1% to Rs. 16,980 crore due to higher employee benefit expenses and increased software license costs. The company’s stock price has dropped by 14% over the past quarter.
Analyst Vincent notes that the tariff war indirectly impacts IT companies due to supply chain disruptions in sectors such as auto, manufacturing, and retail, and businesses tightening their belts. He believes TCS will address these tariff-related challenges by leveraging AI for IT cost savings and focusing on industry-specific AI and data solutions. It has to be noted however, that ‘AI’ is doing a lot of work for TCS in managing expectations here.
Note: These recommendations are from various analysts and are not recommendations by Trendlyne.
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