Analyst Lim Rui Wen of DBS maintained a Buy rating on Icici Bank (IBN – Research Report), boosting the price target to $37.50.
Meet Your ETF AI Analyst
- Discover how TipRanks' ETF AI Analyst can help you make smarter investment decisions
- Explore ETFs TipRanks' users love and see what insights the ETF AI Analyst reveals about the ones you follow.
Lim Rui Wen’s rating is based on a combination of factors including ICICI Bank’s impressive financial performance and strong market positioning. The bank reported a record quarterly profit, surpassing expectations with a significant year-over-year increase. Additionally, ICICI Bank has shown improvement in asset quality, evidenced by a reduction in the gross non-performing assets ratio.
Furthermore, the bank is well-positioned due to its robust deposit franchise and stable asset quality, which allows it to benefit from lower deposit rates. The bank’s strong loan growth, driven by domestic demand and digital initiatives, supports its growth trajectory. Lim Rui Wen also notes that ICICI Bank’s consistent earnings growth and improvements in return on equity are expected to continue driving its share price upward, justifying the premium valuation compared to its peers.