Buy ICICI Bank; target of Rs 1250: Axis Securities

Axis Securities is bullish on ICICI Bank has recommended buy rating on the stock with a target price of Rs 1250 in its research report dated July 24 2023.

Broker Research

July 24, 2023 / 13:35 IST

Buy

26 Aug, 2025 12:21

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Axis Securities report on ICICI Bank

ICICIB has been a consistently outperforming over the past few quarters. The bank has entered FY24 on a strong footing and we expect the momentum to continue. No major asset quality challenges are visible and the benign credit cost trajectory should continue. Additionally, the bank continues to hold adequate provision buffers, which is comforting. Despite margin pressures and higher Opex growth we expect ICICIB to deliver a healthy PPOP/Earnings growth of 15/16% CAGR over FY23-25E and a consistent RoA/RoE of 2-2.2%/17-18% over FY24-25E.

Outlook

The stock currently trades at 2.8x Sep’24E ABV. We reiterate our BUY recommendation, valuing the stock at 3x FY25E ABV to the core book and a subsidiary value of Rs 165, to arrive at a target price of Rs 1,250/share, implying an upside of 25% from the CMP.

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