Angel One Q4 - Capital Market Outlook, Execution Track Record Make Risk Reward Favorable: ICICI Securities

ICICI Securities Report

Angel One Ltd. is driving a very optimum balanced growth model between earnings and business investment. This is well illustrated by a margin decline (a combination of client acquisition and investments) of 616 bps and earnings growth of 46% YoY in FY24.

The recent fund raise of Rs 15 billion may enable growth in broking business while there is steady capacity buildup in asset management company, wealth and lending businesses.

We upgrade the stock to Buy (from Hold) with an unchanged target price of Rs 3,469 based on 15 times FY26E EPS of Rs 231.

Risk: Any regulatory move against rising exchange volumes. Recently, RBI decided to form a regulatory panel to weigh risks in derivatives market which has made us cut the valuation multiple from 20 times to 15 times. We, however, believe that risk reward is favorable basis the track record of the company and current valuations.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.