ICICI Bank Limited (IBN): Charged Up Insiders Buy Shares

ICICI Bank Limited (NYSE:IBN) is now being followed by Morgan Stanley, as they initiated the stock at Overweight on January 16. Analysts at Jefferies, shed their negative views on October 30 by lifting it fromHold to Buy. The stock won favor of Macquarie analysts who expressed their confidence in it using an upgrade from Neutral to Outperform on March 20. Jefferies analysts came out with bearish views on March 06 when the call was made. They think the stock is now Hold compared to to their prior call for Buy.

IBN stock dropped -0.45% in recent trade and currently has a stock-market value of $36.08B. The shares finished at $11.1, after trading as low as $11.04 earlier in the session. It hit an intraday high Thursday at $11.15. Trading activity significantly weakened as the volume at ready counter decreased to 5,581,737 shares versus 6,974,195 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 7,080,568 shares. The stock is now 45.86% above against its bear-market low of $7.61 on July 16, 2018. It has retreated -1.08% since it’s 52-week high of $11.22 reached in March. Now the market price is up 18.34% on the year and up 7.87% YTD.

Wall Street’s most bullish ICICI Bank Limited (NYSE:IBN) analysts are predicting the share price to blow past $15.06 per share during the next 12 months. The current median share price forecast by them is $12.28, suggesting that the stock could increase 10.63% in that time frame. The average price target of $12.29 calls for a nearly 10.72% increase in the stock price.

ICICI Bank Limited (IBN)’s 50 day simple moving average (SMA 50) price is $10.19 and its 200-day simple moving average (SMA 200) price is $9.32. The company’s stock currently has a total float of 3.2B shares. Its weekly volatility is hovering around 1.2% and felt 1.3% volatility in price over a month. On the upside, the share price will test short term resistance at around $11.15. On a downside, the stock is likely to find some support, which begins at $11.04. The failure to get near-term support could push it to $10.99.

When looking at valuations, ICICI Bank Limited (IBN) has a pricey P/E of 40.22x as compared to industry average of 18.98x. Moreover, it trades for 17.65 times the next 12 months of expected earnings.

Revenue for the recent quarter stood at $50000, down -100% on last year and below the $90000 predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $5.75 billion to $5.75 billion, which should be compared with $6.98 billion generated last year. EPS is seen in a range of $0.18 to $0.2, against the $0.61 reported a year ago.