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Icici

ICICI Bank | Rising ChannelICICI Bank trading through a rising channel. 435.5 to 436.75 region seems like a good support zone and that can be expected to hold on well. Once if price breaks above 444, we can expect a quick move to 450 and even beyond. Demand areas noted in chart. (Disclaimer: Our charts and contents are just for the purpose of analysis, learning and general discussion. Do not consider these as trading tips or investment ideas. Trading in Stocks, Futures and Options carry risk and is not suitable for every investor. Hence it is important to do your own analysis before making any investment or trading decisions based on you personal circumstances and it is always better to take advice from professionals)
NSE:ICICIBANK
by AkhilSuryaFS
ICICI Bank Trading Lookout | Trade NiveshAfter dipping significantly in 3Q, slippages were up ~70% QoQ to ~Rs 35.5bn i.e.2.47% vs. 1.5% QoQ. This incl. an exposure of ~Rs 8.5bn to Renuka Sugars, which is currently servicing its debt (might be upgraded in FY20). W/Os were significantly higher at ~Rs 73.3bn (+~2.1/2.4x), leading to GNPA decline of ~10% QoQ (Rs 463bn, 6.7%). ~69% of corp slippages were from the BB and below rated book (O/s 2.99%). The mgt guided for a spike in agri related slippages in FY20E (KCC related, 3% of the book). We have factored in slippages of ~1.95% over FY19-21E. Resolutions in NCLT cases can provide additional surprises (positive). Advances grew ~15/4%, driven by a 17% growth in domestic advances. The retail segment clocked a robust ~22/6% growth. Within retail, unsecured loans grew (43/11%) rapidly, on a small base. We have factored in a loan CAGR of 16% over FY19-21E. Overall NIMs improved ~30bps QoQ to 3.7%. The improvement was optical to the extent of ~25bps, as NII included int. on IT refund of ~Rs 4.1bn. Ex., the one-off, NIMs improved ~7bps QoQ led by a yield expansion and contained CoF. Further this was, despite a 200bps drop in the domestic CD ratio. We have assumed NIMs of 3.45% over FY19-21E. While slippages for the qtr were higher vs. expected, the overall stress declined, keeping the bank’s prospects remain largely unchanged. Maintain (2.0x Mar-21 core ABV of Rs 172 and sub-value of Rs 109).
NSE:ICICIBANK
by TradeNivesh