10 Best Indian Stocks for Next 10 Years

2) ICICI Bank Limited (NYSE:IBN)

 Number of Hedge Fund Holders: 30

ICICI Bank Limited (NYSE:IBN) provides various banking and financial services to retail and corporate customers in India and internationally.

ICICI Bank Limited (NYSE:IBN) continues to focus on strengthening its capital base and enhancing its ability to cater to the financial needs of its customers. ICICI Bank Limited (NYSE:IBN) recently conveyed optimism regarding the Reserve Bank of India’s (RBI) draft project finance guidelines. The bank expects that these will be beneficial over the long term as a result of ICICI Bank Limited (NYSE:IBN)’s cautious underwriting practices and the additional provision cushion.

Moreover, ICICI Bank Limited (NYSE:IBN) implemented stricter underwriting criteria for unsecured loans as it has increased rates and selectively reduced exposure to certain customer groups. The slower growth in deposits should not impact its ability to extend loans. The banking giant continues to project a steady-state net interest margin (NIM) of 4% and expects improved operating efficiency. These measures should improve its return on assets (ROAs). Moreover, ICICI Bank Limited (NYSE:IBN) believes that enhancements in transaction banking services should fuel fee income growth.

Wall Street analysts believe that strong deposit growth and effective management of operating expenses should bolster its profit growth. ICICI Bank Limited (NYSE:IBN)’s prudent financial management should drive healthy earnings growth in fiscal years 2025-2026. Wall Street believes that the bank’s growth trajectory and return on equity (ROE) should sustain its market valuations.

ICICI Bank Limited (NYSE:IBN)’s deployments in technology provide some cushion against opex costs. Also, a stable mix of a high-yielding portfolio (Retail/Business Banking), together with growth in Business Banking, SME, and secured retail segments, should continue to drive broad-based improvement. Analysts believe that shares of ICICI Bank Limited (NYSE:IBN) have an average price target of $34.63.

As per Insider Monkey’s database, ICICI Bank Limited (NYSE:IBN) was in the portfolios of 30 hedge funds at the end of Q2 2024.