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LYNCH EQUITY RESEARCH

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ICI

ICICI Bank Ltd

ICICIBANK · Banking · Private Sector Bank · Cap: ₹8,50,000 Cr

₹1,210.00

+1.1% today

BUYLOW RISK

LYNCH Research Score

89 / 100

#1 High Priority

Valuation Assessment

Fair

P/E: 17.1x · P/B: 3.1x

Portfolio Holding Context

0% Weight

Not held in demo portfolio

DEMO DATA ONLY · NOT REAL-TIME MARKET DATA · NOT FINANCIAL ADVICE
LYNCH v1.0

Fundamental Analysis

Quality: Exceptional

ROE (Return on Equity)

18.9%

High return on equity base

ROCE

17.2%

Superior capital efficiency

Revenue Growth

17.8%

Consistent top-line momentum

Operating Margin

41.2%

High operating leverage

Debt to Equity

1.08

Conservative balance sheet

FCF Yield

N/A

Cash generation profile

Valuation & Signals

Fair

Valuation Ratios

Trailing P/E: 17.1xPrice to Book: 3.1xEV/EBITDA: 11.2x

Valued at a premium to HDFC Bank due to superior current NIMs and asset quality metrics.

LYNCH Signals

Momentum: Strong
Trend: Bullish
Earnings: Accelerating
Relative: +6.4% vs Nifty Bank
LYNCH View: Top-performing bank with industry-leading ROA (2.3%) and flawless asset quality defense.

Potential Catalysts & Risks

Potential Catalysts

  • Industry-leading NIM of 4.3% with low credit costs
  • Digital banking adoption via iMobile Pay
  • Strong SME and retail loan book expansion

Key Downside Risks

  • Macro interest rate cuts compressing yield on advances
  • Increased regulatory risk weights on personal loans

Research Scenarios

Bull Case

ROA stays above 2.2% with credit costs below 50 bps, driving total return compounding of 20%+.

Bear Case

Unsecured loan portfolio slippages increase credit provisioning costs.