INSUBCONTINENT EXCLUSIVE:
ICICI Bank made some news on Wednesday after Morgan Stanley raised target price of stock.
The price now stands revised to Rs 510 from Rs
The scrip was flat at Rs 380.20 in early session
Asset quality continues to improve and underlying earnings are accelerating
We expect 15 per cent RoE in FY20
franchise has improved meaningfully (around 50 per cent CASA deposits), which has helped bring down funding cost to same level as best of
stronger asset growth and net interest margins (NIM)
NIMs should also improve as net NPLs decrease
We expect core cost, income ratio to trend down as underlying revenue momentum picks up, driving strong core pre-provision operating profit
