ICICI Bank Ltd. share price target

of loans) were reported with improvement in economic activity, 2) Asset quality metrics have held up well with strong recovery/upgrades, PCR maintained at 80%, 80bps of COVID contingency provisions (despite w.back Rs10.5bn) and restructuring book at 120bps, and 3) Strong franchise strength is reflected via solid growth both in liabilities & assets with much better managed risk, which keeps ROEs to move towards +15% in FY23 & FY24. We maintain our conviction at BUY' with revised TP of Rs. 906 (from Rs.819)...

Yet another quarter of superior credit growth

ICICI Bank (ICICIBC) reported a picture-perfect 3QFY22 driven by Core PPoP growth of 25% YoY, lower Net NPA ratio of 0.85%, NIM at 3.96% and RoE surpassing the coveted 15% milestone. Every quarter of the last 12 quarters has given us reason to turn more positive and raise target multiples of ICICIBC, thus narrowing the discount with sector leaders of the last decade. The first leg of the target of crossing 15% RoE has been accomplished in this quarter. The next leg will aim to sustain and improve on this RoE further....

ICICIBC has been the best performer in the Banking sector (despite the consensus Buy tag) as it delivered 80%/42% returns over FY21/FY22 YTD. Its market capitalization ranking within the BFSI space has improved to two from five in FY18. Stability of the top management has helped improve its operational performance. Mr. Sandeep Bakhshi's appointment as CEO has brought stability which enabled value creation and drove re-rating as bank delivered 31% CAGR in m-cap since FY1821 v/s 7% over FY10-18. It has reported strong progression in NIMs, narrowing the gap with sector leaders. With a higher mix of floating rate loans and our view on a reversal in the rate cycle,...

We maintain a BUY rating on the stock with a target price of Rs 975/share (SOTP basis core book at 2.8x FY24E and Rs 182 Subs. Value).

We attended virtual Analyst Day hosted by ICICI bank which showcased the digital strategy of each business segment and data analytics are the key drivers to focus on the strategy from recognized as from a Bank to BankTech. Bank reiterates its strategy of One Bank, One ROE, and providing 360 solutions. Management highlighted that the focus is on data to maximize operating profits. Also, highlighted that culture in the organization is the key differentiator as technology and digitization can be replicated in any organization (Banking). We re-iterate BUY' with a TP of Rs.945, valuing parent business at Rs.799 (2.3X P/ABV FY24E) and rest for the subsidiaries; Valuing at 5-year average as...

We attended ICICIBC analyst day, where the management highlighted how the strengthening of its digital capabilities is helping transform the bank and increase throughput rates, while offering customers a superior experience. The bank is capable of building and scaling digital capabilities like the best of the FinTechs, though agility, constant innovation, and customer focus remains the key to success. ICICIBC has been reporting strong growth in Retail advances, supported by an impressive share of digital originations, while SME/Business Banking growth has been robust, aided by various digital applications. With a resilient asset quality and an improving economic...

growth across segments. The GNPA cycle peaked at the end of FY18 (GNPA ratio at 8.8%), now sustainable, prudent and healthy growth with improvement in economic activities. ICICI winning credit card spend market share: It is important to emphasize that the market...

ICICI Bank has successfully transformed itself from a corporate focused bank to a retail bank in the last 5 years. Bank's management is continuously taking initiatives...

crore for the quarter ended September 2021 (Q2FY2022). Bank has improved margins, loan growth, asset quality and cost-to-income ratio in Q2FY2022. Bank has showed accelerated business growth, while CASA ratio continued to improve in Q2FY2022. Bank has also continued to expand its distribution network....