Financials - Earnings Outlook Healthy; Maintain Preference For ICICI Bank, SBI: Motilal Oswal

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.CY23 would have been a muted year for the banking sector but for the recovery in the last two months, which enabled the sector to deliver 12% returns despite several macro concerns, such as high interest rates, geopolitical events, and regulatory tightening by the Reserve Bank of India. In this small note we reflect on the stock performance, foreign institutional institution flows, overall profitability indicators, and trends in consensus earnings per share for the banking sector in CY23. We believe that considering pristinse balance sheets and steady profitability ratios, the current valuations in the banking sector still appear reasonable and the sector is well poised to deliver double-digit returns in CY24, though we will keep an eye on near-term progress in margins and liability growth. The changing narrative on interest rates across the globe and steady economic progress — with India sustaining its growth dominance will present a multitude of opportunities for the sector to benefit from in the medium term. Asset quality remains steady; however, the trend in unsecured retail and micro, small and medium enterprise segments will be critical for banks to keep credit costs in check. As a result, we expect sector returns in CY24 to be broadly comparable to underlying return on equity. Top ideas: ICICI Bank Ltd,, IndusInd Bank Ltd., State Bank of India, City Union Bank, and Union Bank of India..Click on the attachment to read the full report:.Motilal Oswal - Riding On Financialisation Is A Winning Strategy: ICICI Securities.DISCLAIMERThis 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.

Financials - Earnings Outlook Healthy; Maintain Preference For ICICI Bank, SBI: Motilal Oswal

Bank of Baroda, Canara, Union, RBL Bank witness significant earning upgrades – reflected in stock performance as well

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Financials - Earnings Outlook Healthy; Maintain Preference For ICICI Bank, SBI: Motilal Oswal

Bank of Baroda, Canara, Union, RBL Bank witness significant earning upgrades – reflected in stock performance as well

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