ICICI Bank - Best Placed: Nirmal Bang

BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Nirmal Bang Report.We reiterate ICICI Bank Ltd. as our top pick in the banking space given the visibility of 2% return on asset by FY24E on the back of 21% compound annual growth rate in net profit over FY22-24E. Given the current increasing interest rate environment, the bank seems one of the best placed from ROA accretion perspective given its higher share of external benchmark lending rate linkage, enabling faster transmission of rate increases on the asset side. We see few more levers to net interest margin expansion such as:improving loan/deposit ratio andincreasing share of unsecured lending. Further, growth prospects seem far better for large cap banks given their low cost of funds advantage vis-a-vis small-cap and mid-cap peers. This directly benefits ICICI Bank given it’s the market-leading position in retail as well as corporate segments. .Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Bank - Best Placed: Nirmal Bang

ICICI Bank - Best Placed: Nirmal Bang

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