ICICI Prudential Asset (ICICIAMC IN): Buy: Healthy 1Q, but share loss tempers momentum

Research evidence excerpt

ICICI Prudential Asset (ICICIAMC IN): Buy: Healthy 1Q, but share loss tempers momentum

13 July 2026

ICICI Prudential Asset EquitiesDiversified Financial Srvcs

(ICICIAMC IN)

Buy: Healthy 1Q, but share loss tempers momentum India

◆ 1QFY27 PAT beat on back of higher-than-expected treasury

MAINTAIN BUY

gains; core performance was largely in line with HSBCe

◆ While there was AUM market share loss, a large part of it was TARGET PRICE (INR) PREVIOUS TARGET (INR)

driven by differential in MTM and muted SIP trends, in our view 3,800.00 3,800.00

◆ We see re-rating potential on back of 22% EPS CAGR (FY26- SHARE PRICE (INR) UPSIDE/DOWNSIDE

29e) and 1.4x PEG; retain Buy rating, TP of INR3,800.00 3,205.60 +18.5%

(as of 13 Jul 2026)

Robust 1Q, but are risks materialising? In 1QFY27, ICICIAMC delivered a strong MARKET DATA

earnings outcome, with core operating profit up c20% y-o-y and PAT up c23% y-o-y. Market cap (INRm) 1,584,395 Free float 10% Market cap (USDm) 16,620 BBG ICICIAMC IN

Revenue yields remained stable, the impact of changes in expense ratios was largely 3m ADTV (USDm) 18 RIC IICL.BO

passed through, and operating cost growth was contained. That said, there were two

FINANCIALS AND RATIOS (INR)

softer points: (i) Equity QAAUM market share declined by c20bp q-o-q, and (ii) SIP Year to 03/2026a 03/2027e 03/2028e 03/2029e

flows moderated by c60bp (month-end). Management attributed both to mark-to- HSBC EPS 66.73 81.97 101.13 120.90

HSBC EPS (prev) 66.73 84.83 100.88 119.66

market differences, given ICICIAMC’s higher exposure to the large-cap index vs Change (%) 0.0% -3.4% 0.2% 1.0%

small/midcap indices. We view this as a temporary headwind while current market Consensus EPS 66.73 79.58 95.05 113.15

PE (x) 48.0x 39.1x 31.7x 26.5x

exuberance persists.