Citigroup Global Markets maintains sell on ICICI Securities. raises target to Rs 350

Citigroup Global Markets has maintained a sell rating on ICICI Securities in the long term and raised target price to Rs 350 from Rs 200. Shares of ICICI Securities ended down 0.9% at Rs 402.80 on Thursday while the BSE sensex closed 634.61 points (1.55%) up at 41,452.35.

Company Financials

For the quarter ended 30-09-2019, the company has reported consolidated sales of Rs 417.02 crore, up 7.89 % from last quarter sales of Rs 386.52 crore and down -8.97 % from last year same quarter sales of Rs 458.10 crore. The company has reported net profit after tax of Rs 135.12 crore in the latest quarter.


The company’s top management includes Mr.Ajay Saraf, Mr.Anup Bagchi, Mr.Ashvin Parekh, Mr.Pramod Rao, Mr.Subrata Mukherji, Mr.Vijay Chandok, Mr.Vinod Kumar Dhall, Ms.Vijayalakshmi Iyer. Company has B S R & Co. LLP as its auditors. As on 30-06-2019, the company has a total of 322,141,400 shares outstanding.

Investment Rationale

New customer acquisition and product strategies can help ICICI Securities accelerate growth in its client base and deepen lines of revenue over the next 1-2 years, said Citigroup. However, at around 21 times FY21 estimated EPS, valuations are steep in the context of an uncertain macro outlook, said Citigroup.