Buy ICICI Bank – Target Price Rs.620
Ø We recommend a Buy on ICICI Bank with a target price of Rs.620. Currently, the scrip is quoted in the
range of Rs.350.
Ø Current price of the stock is just 1.2 times of the expected book value of Rs. 277 for the FY 10. It seems that
the current valuation is very attractive.
Ø EPS for FY 09 is expected to be Rs. 30.84 and the earnings is expected to grow to Rs. 40.72 and Rs.48.34
respectively for the FY 10 and FY 11.
Ø Quarterly credit cost analysis reveals that the cost of credit has started to ease. This may improve the
demand for advances.
Ø Incremental NPL in the range of 7%
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This material should not be construed as an offer to sell or the solicitation of an offer to buy any security. We are not
soliciting any action based on this material. It is for the general information of retail clients of GFSL. It does not constitute a
personal recommendation or take into account the particular investment objectives, financial situations, or needs of
individual clients. Before acting on any advice or recommendation in this material, clients should consider whether it is
suitable for their particula