The bank is looking to reduce the concentration risk and improve the credit ratings in the corporate portfolio. Proposed capital raise is aimed to further strengthen capital of the bank.
Brokerages largely expect increase in provisions YoY (decline QoQ), but asset quality is likely to see some further improvement with declining slippages.
Net Interest Income (NII) is expected to increase by 14.5 percent Y-o-Y (down 0.8 percent Q-o-Q) to Rs. 8,860 crore, according to HDFC Securities.
ICICI Bank's asset quality is also expected to improve in the March quarter on account of write-offs.
Slippages spiked in the corporate portfolio due to one brokerage client and a south-based industrial company.
Net interest income and pre-provision operating profit (PPoP) may grow around 30 percent each year-on-year, with loan growth of around 13 percent YoY driven by retail and SMEs.
We expect Nifty EPS to grow by 14 percent for FY20 and clock in an EPS figure of Rs 554 for FY20.
Earnings downgrade continued in the September quarter but there were no fresh negatives in terms of outlook in management commentaries.
Morgan Stanley has overweight call on the stock and raised target price to Rs Rs 665 from Rs 625 earlier,
Brokerages also raised target price on the stock despite profitability hit by deferred tax assets (DTA) adjustment
Motilal Oswal also expects loan growth to come in at around 15 percent YoY, driven by retail and SME loans.
Net Interest Income (NII) is expected to increase by 21.4 percent Y-o-Y (up 0.7 percent Q-o-Q) to Rs. 7,792 crore, according to KR Choksey.
According to Narnolia Securities, the loan book is expected to grow by 17 percent YoY with healthy all-round growth across the segment.
Kotak Institutional Equities as well as Prabhudas Lilladher expect 22 percent decline year-on-year and 15 percent sequential fall in provisions for bad loans.
Centrum Broking expects ICICI to report strong 21.3 percent YoY growth in NII, helped by healthy 15 percent YoY growth in domestic loans and 27bps YoY expansion in NIM
NBFCs had a marginally better quarter than Q3 as liquidity eased for retail players. Slowdown in auto sales and increase in incremental cost of funding will weigh on Q4 performance
But non-auto consumer discretionary companies like Titan and Zee Entertainment are expected to report relatively stronger growth, Deutsche said.
Net Interest Income (NII) is expected to increase by 13.6 percent Y-o-Y (down 0.5 percent Q-o-Q) to Rs. 6,839.3 crore, according to Motilal Oswal.
Net Interest Income (NII) is expected to increase by 19.6 percent Y-o-Y (up 4.8 percent Q-o-Q) to Rs. 7,202.9 crore, according to Kotak.
Global brokerage firms recommend to stay put in ICICI Bank; raise respective target prices post Q3 results
Q3 earnings indicate a clear sky making ICICI Bank an exciting yet relatively safe investment bet for long term
Overall brokerages expect other income (non-interest income) as well as operating profit to grow more than 20 percent.
Net Interest Income (NII) is expected to increase by 18.5 percent Y-o-Y (up 5.4 percent Q-o-Q) to Rs. 6,761.2 crore, according to Sharekhan.