ICICI Bank Limited

Financial Services — Banks - Regional · NSE

₹1,397.00+₹7.60 (+0.55%)

DalalBaazaar Score

84 / 100

🟢 Strong

Verdict

ATTRACTIVE

Risk

Low

No individual risk factor stands out on this snapshot.

In simple words: Strong business and financial position, with both sales and profits growing well. Nothing on this snapshot stands out as an immediate concern — the usual checks on business quality and management still apply.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:09 pm

Constructive picture on fundamentals. Profitability, leverage and growth metrics are broadly healthy on this snapshot. That said, valuation should still be checked against direct sector peers (not just the generic P/E bands used here) before treating this as a buy signal.

Understanding the Business

Company site ↗

The 60-second version of ICICI Bank Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

ICICI Bank Limited, together with its subsidiaries, engages in the provision of various banking and financial services to corporate and retail customers in India and internationally.

IndustryBanks - Regional

SectorFinancial Services

Employees1,24,029

Annual revenue₹2.23 L Cr

How does it make money?

Turns over ₹2.23 L Cr a year. Of every ₹100 of sales, about ₹24 reaches shareholders as profit. Each of its 1,24,029 employees supports ₹1.80 Cr of revenue a year, the signature of a capital- or asset-led business.

Net margin24.3%

Revenue / employee₹1.80 Cr

Who are its competitors?

The closest listed comparisons in its industry are HDFC BANK LTD, KOTAK MAHINDRA BANK LTD, AXIS BANK LIMITED, STATE BANK OF INDIA. These are the companies its valuation and returns are measured against elsewhere in this report.

HDFC BANK LTDP/E 15.9x · ROE 13.8%

KOTAK MAHINDRA BANK LTDP/E 21.9x · ROE 11.2%

AXIS BANK LIMITEDP/E 14.5x · ROE 13.4%

STATE BANK OF INDIAP/E 10.3x · ROE 15.2%

What is its competitive advantage?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

ROE16.5%

Peer median ROE13.8%

What is the outlook?

38 analysts covering the stock expect revenue to grow about 15.3% and earnings to grow about 14.7% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+15.3%

Est. earnings growth+14.7%

Analysts38

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +65% while net margin moved -3% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+65%

Margin effect-3%

DalalBaazaar Score

84/ 100

Strong

Weighted across six categories. Every point is explained below.

• P/E of 18.1x is within a normal band
• P/E is close to its own historical median of 20.0x

Quality vs. Valuation

Company Quality

89/ 100

Excellent

How good the business is, ignoring the share price entirely.

Valuation

61/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

18.1x

3Y Median

20.0x

40 monthly readings · mean 20.6x · range 17.0x–25.4x

Sector Median

15.2x

median of 4 sector peers

🟡Currently trading close to its 3y median of 20.0x — the market is paying about what it usually pays for this company.

⚠️Against its sector it trades 19% above the peer median of 15.2x.

vs. its own history

Fair

20.0x median over 40 months · -10%

vs. sector peers

Fair

15.2x median of 4 peers · +19%

vs. generic bands

Fair

15x–35x

P/E (Trailing)

18.1x

P/B

2.76x

EV/EBITDA

—

PEG

1.08

Dividend Yield

0.86%

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

1 item require attention · 1 watch

🟡Low reported insider holdingOwnership
Reported insider holding is 3.5%. For Indian companies this field is an unreliable proxy — check the official promoter shareholding in the exchange filing.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

No clear risk case emerges from the available numbers — which is not the same as there being none.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 14% a year✓ 18.1% CAGR
Latest reported year was 15.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2Return on equity stays above 14%✓ 16.5%
For a lender this is the cleanest single read on whether the book is being grown profitably.
3Valuation vs its own median of 20.0x✓ 18.1x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

9 / 10 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

7 good · 4 neutral · 0 weak

Market Cap

₹10.03 L Cr

Large Cap

Large, widely-covered business — typically the steadiest of the bands

P/E (Trailing)

18.1x

Fair

Fairly valued against the generic band

P/B Ratio

2.76x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹77.36

Profitable

Profitable on a per-share basis

ROE

16.5%

Strong

Strong capital efficiency

ROCE

Not meaningful

N/A for lenders

Banks and NBFCs don't report capital employed the way other businesses do

Debt/Equity

0.57x

Low

Conservative leverage

Revenue Growth (YoY)

15.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

22.1%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.86%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹63,595 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

CMP

₹1,397

P/E (Forward)

14.9x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

ROA

2.1%

Weak

Assets generate little profit

Operating Margin

37.5%

Good

Healthy core-business profitability

Net Margin

27.8%

Good

Strong bottom-line conversion

Beta (vs Nifty)

0.26

Defensive

Steadier than the market

52W Range Position

72%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1340.6 / 1384.2

Bearish alignment (short < long)

Price vs SMA 200

Above

Long-term uptrend

RSI (14)

63.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹1.36 L Cr	₹1.61 L Cr	₹2.05 L Cr	₹2.23 L Cr	+18.1%
PAT (Net Profit)	₹34,037 Cr	₹44,256 Cr	₹51,029 Cr	₹54,208 Cr	+16.8%
EPS	₹47.84	₹61.96	₹71.14	₹74.77	+16.1%
ROE	15.9%	17.3%	16.3%	14.9%	—
Total Debt	₹1.84 L Cr	₹2.01 L Cr	₹2.04 L Cr	₹2.08 L Cr	+4.2%
Free Cash Flow	-₹6,239 Cr	₹1.54 L Cr	₹1.18 L Cr	₹63,595 Cr	—

🟢 Revenue has grown at 18.1% a year over 3 years.

🟢 PAT (Net Profit) has grown at 16.8% a year over 3 years.

🟢 EPS has grown at 16.1% a year over 3 years.

🟡 ROE has held roughly flat at 14.9% over 3 years.

🔴 Total Debt has grown at 4.2% a year over 3 years.

🟢 Free Cash Flow has turned positive, from -₹6,239 Cr to ₹63,595 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹29.14 L Cr

Total Liabilities

₹25.35 L Cr

Total Debt

₹2.08 L Cr

Cash & Equivalents

₹2.90 L Cr

Operating Cash Flow

₹67,325 Cr

Capex

-₹3,730 Cr

Shareholding (proxy)

Institutional Holding

59.1%

Insider Holding

3.5%

Corporate Actions

Next Earnings

14 Jan 2027

Dividend Rate

₹12

Ex-Dividend Date

03 Aug 2026

Analyst Consensus

Recommendations

42 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹1,748.4

+25.2% vs CMP

Target Range

₹1,592 – ₹2,040

Peer Comparison

Company	P/E	ROE
HDFC BANK LTD	15.9x	13.8%
KOTAK MAHINDRA BANK LTD	21.9x	11.2%
AXIS BANK LIMITED	14.5x	13.4%
STATE BANK OF INDIA	10.3x	15.2%

Recent News

1 positive3 mixed2 general

JPMorgan raises ICICI Bank stock price target on strong earnings

Investing.com, 18 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

ICICI Bank vs HDFC Bank vs Axis Bank: Which stock to buy, sell or hold after Q2 results?

Livemint, 18 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

ICICI Bank profit spurts 20% on NII; core profitability a tad lower on FCNR(B)

The Economic Times, 18 Oct

Stocks to Watch on Oct 19: HDFC Bank, ICICI Bank, DLF, Axis Bank, PNB and more

CNBC TV18, 18 Oct

ICICI Bank Q2 net rises 20% to ₹14,843 crore as provisions fall

Business Standard, 17 OctResults

🟡Mixed / dependsA results event. The figures on this page update once the new statements reach the data feed, which usually lags the announcement.

ICICI Bank Q2 results: Profit rises 20% YoY to ₹14,843 crore, NIM down 12 basis points; asset quality improves

Upstox, 17 OctResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
Reported insider holding is low — cross-check the official promoter shareholding % in the company's exchange filing.

DalalBaazaar Thesis

🟢Business QualityStrong18/20

🟢Financial HealthStrong17/20

🟢GrowthStrong18.5/20

🟢ProfitabilityStrong12.8/15

🟡ValuationFair9.3/15

🟢RiskLow8.4/10

Good business at a fair price

A sound business at a reasonable valuation. Suitable for a long-term holding, with the valuation and the direction of margins worth watching rather than the business itself.

This thesis breaks if

✓Revenue growth stays above 14% a year18.1% CAGR
✓Return on equity stays above 14%16.5%
✓Valuation vs its own median of 20.0x18.1x today