ICICI Securities bullish on consumption and private banks

ICICI Securities today kickstarted 15th Annual Investor Summit — its three-day conference in Singapore — in the presence of over 40 corporates.Speaking from the sidelines of the summit, Jaideep Goswami, Head-Institutional Equities, ICICI Securities told CNBC-TV18 that the market is poised in such a way that it is better to stick to stock-specific plays.Talking about the consumption space he said, post demonetisation some of the companies have managed their profit and loss account well by pushing product launches and in turn protecting margins. However, one will have to see how the fourth quarter of FY17 impacts them post some amount of cash back in hand of the consumers.The house is also positive on consumption theme and like ITC. Goswami said ITC rides on pricing power, sees sustainable growth, and has the power to pass on prices. ICICI Securities also like ITC's peer Emami, on back of a modest growth and its ability to reach markets, Goswami said. The other name they are upbeat on is Sheela Foam. Goswami said the house likes private sector banks over public sector banks because there is an expectation of outperformance by them over the next 12-24 months. Banks have also gained through demonetisation, and the level of penetration will grow along with their CASA. Foreign investors, too, have started looking at banks as an opportunity, Goswami added.From the housing finance space, the house is positive on LIC Housing Finance and Repco Home Finance.