Antique stock broking begins coverage on ICICI Securities

Mumbai: Antique Stock Broking has initiated coverage on ICICI Securities with a ‘buy’ rating and price target of Rs 450. The firm said despite the onslaught of discount broking and the general decline in yields, brokers backed by banks witnessed double-digit growth in clients and revenues.

Antique said while the second half of the current financial year could see an impact of the shift from pure broking unit to offering a wider array of products, growth will resume next financial year.

“This transformation could reduce the volatility of its revenue and earnings and at the same time provide a long runway for growth,” the brokerage said. “Cash-rich balance sheet, high dividend payout and strong parental support remain icing on the cake.” ICICI Securities shares rose 3.4 per cent to close at Rs 352.80 on Thursday.