Global View: ICICI Bank, Bandhan Bank, Cipla and Container Corp could give 15-40% return in long term

The Indian markets are likely to witness some volatility on Monday tracking weak global cues, but there will be stock-specific action in which global brokerage came out with their reports on business development, or earnings outlook.

We have collated a list of recommendations from various global brokerage firms according to a Zee Business TV report:

ICICI Bank: Buy| Target Rs 1125

CLSA maintained a buy on ICICI Bank post-December quarter results with a target price of Rs 1,125 which translates into an upside of nearly 40 per cent from Rs 804 recorded on 21st January.

The global investment bank expects re-rating to continue for ICICI Bank. It is the 'best-in-class' and continues to deliver on all fronts.
 
Net slippage near zero and credit cost should undershoot long-term averages. ICICI Bank is cementing its growth leadership position.

Bandhan Bank: Outperform| Target Rs 340

CLSA upgraded Bandhan Bank to outperform post-December quarter results with a target price of Rs 340 that translates into an upside of nearly 15 per cent from Rs 296 recorded on 21st January.

The Q3 performance indicates a turning point with collections improving to in its MFI portfolio. The P&L outcomes have improved with 60/0/80/0 beats on our PPOP/PAT estimates.
 
The global investment bank expects lower earnings by 2 per cent for FY23/24 and expects ROE to cyclically recover to 20 per cent over FY23/24. CLSA does not expect multiples to get back to past levels though.

Cipla: Outperform| Target Rs 1150

Credit Suisse upgraded Cipla to outperform from neutral with a target price of Rs 1,150 which translates into an upside of over 30 per cent from Rs 867 recorded on 21st January.

The consumer wellness franchise is expected to grow at an 18 per cent CAGR over FY22-25. The market is currently underestimating the strength of Cipla.
 
The global investment bank sees an increased sales mix of injectable/respiratory products. The overall profit growth is strong at a 20 per cent CAGR over FY22-24E.

Container Corp: Overweight| Target Rs 800

JPMorgan upgraded Container Corp to overweight from neutral after it reported a 24.46 per cent rise in consolidated net profit to Rs 276.35 crore for the quarter ended December 31, 2021, last week.

The company had clocked a net profit of Rs 225.66 crore in the corresponding quarter a year ago, the multi-modal logistics company said in a regulatory filing to the BSE.

JP Morgan also raised the target to Rs 800 from Rs 650 earlier which translates into an upside of over 28 per cent from Rs 623 recorded on 21st January.

(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)