Buy ICICI Bank; target of Rs 1150: Motilal Oswal

Motilal Oswal is bullish on ICICI Bank recommended buy rating on the stock with a target price of Rs 1150 in its research report dated September 11, 2023.

Broker Research

September 12, 2023 / 19:47 IST

Buy

26 Aug, 2025 12:21

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Motilal Oswal's research report on ICICI Bank

ICICIBC’s Annual Report highlights the progress the bank is making towards sustainable growth. This is evident from its strong contingency buffers and robust underwriting and risk-monitoring mechanisms, all of which contribute to safeguarding the company’s balance sheet. The bank further strengthened its retail franchise with the segment registering 23% YoY growth (18% YoY growth in home loans). Additionally, the bank sustained robust traction in its liabilities. The bank maintains one of the highest proportions of Retail deposits, with a strong CASA mix. SME and Business Banking portfolio grew 19% YoY/35% YoY each in FY23, with its mix rising to 12% of loans (8% in FY18).

Outlook

We estimate earnings growth to moderate to 17% CAGR over FY23-25, affected largely by a decline in margins and limited opex/credit cost levers. We retain our BUY rating with SoTP-based TP of INR 1,150 (2.6x FY25E ABV).

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