ICICI Bank above Rs 1,000 could be very attractive: Vijay

According to PN Vijay, Portfolio Manager, ICICI Bank above Rs 1,000 could be very attractive. He feels the stock could give even above 20 percent returns in the next 12 months.

Vijay told CNBC-TV18, “Lot of damage has been done in banks. Let’s say ICICI Bank just above Rs 1,000 or so, it is an attractive buy. There was a strong event like this sting operation but I think the system has taken rather mature view about it and probably it’s a localised eagerness of some bank managers. It’s not going to do any great damage.”
He further said, “I think their loan built up especially in the retail sector is very strong. There is a certain softening of interest rates at least in the bulk deposits and so on. So, net interest margins should be fairly stable. That would leave non-performing assets (NPAs). NPAs have been an issue for a long time but I don’t think this quarter there have been any great additions to NPAs which we are aware of.”
“It is a great buy now. To my mind, ICICI Bank slightly above Rs 1,000 could be very attractive, could give even above 20 percent returns in the next 12 months or so,” Vijay added.