Buy ICICI Bank, target price Rs 890: HDFC Securities

HDFC Securities has buy call on ICICI Bank with a target price of Rs 890. The current market price of ICICI Bank Ltd. is Rs 724.75.

Time period given by analyst is one year when ICICI Bank Ltd. price can reach defined target.

ICICI Bank Ltd., incorporated in the year 1994, is a banking company (having a market cap of Rs 497890.64 Crore).


ICICI Bank Ltd. key Products/Revenue Segments include Interest & Discount on Advances & Bills, Income From Investment, Interest and Interest On Balances with RBI and Other Inter-Bank Funds for the year ending 31-Mar-2021.


Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 39484.49 Crore, up 1.63 % from last quarter Total Income of Rs 38852.60 Crore and up .41 % from last year same quarter Total Income of Rs 39321.42 Crore. The bank reported net profit after tax of Rs 7049.36 Crore in latest quarter.

Investment Rationale
ICICI Bank is on track to achieve a 15% RoE by FY23 due to improving overall performance. With rising impetus on its banktech initiatives to achieve incremental growth, the brokerage turns more constructive on the loan growth forecasts for FY23 and FY24, since it expects ICICI Bank to expand market share.

Promoter/FII Holdings
Promoters held 0 per cent stake in the company as of 30-Sep-2021, while FIIs owned 47.31 per cent, DIIs 42.48 per cent.