Buy ICICI Securities, target price Rs 970: Motilal Oswal

Motilal Oswal has buy call on ICICI Securities with a target price of Rs 970. The current market price of ICICI Securities Ltd. is Rs 780.3. Time period given by analyst is one year when ICICI Securities Ltd. price can reach defined target.

ICICI Securities Ltd., incorporated in the year 1995, is a Mid Cap company (having a market cap of Rs 25323.43 Crore) operating in Financial Services sector.

ICICI Securities Ltd. key Products/Revenue Segments include Income From Brokerage & Commission, Other Services, Interest, Income From Sale Of Share & Securities, Dividend for the year ending 31-Mar-2021.



Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 856.56 Crore, up 14.56 % from last quarter Total Income of Rs 747.70 Crore and up 25.88 % from last year same quarter Total Income of Rs 680.46 Crore. Company reported net profit after tax of Rs 351.24 Crore in latest quarter.

Investment Rationale
The brokerage raises FY22E/FY23E EPS estimate by ~5%/ 4% to factor in strong revenue traction in the Distribution and MTF business. It maintains Buy rating with a TP of INR970/share (21x FY23E EPS).

Promoter/FII Holdings
Promoters held 74.91 per cent stake in the company as of 30-Sep-2021, while FIIs owned 8.94 per cent, DIIs 4.86 per cent.