ICICI Bank share price gains after better than estimated Q2 results; should you buy, sell or hold?

livemint.com:

ICICI Bank share price gained over a percent on Monday after the private sector lender reported better than expected earnings for the quarter ended September 2023. ICICI Bank share price gained as much as 1.32% to ₹944.80 apiece on the BSE. Private lender ICICI Bank reported a 35.8% YoY rise in its standalone net profit to ₹10,261 for the second quarter of FY24.

The bank’s net interest income (NII) increased by 23.8% YoY to ₹18,308 crore and net interest margin (NIM) rose to 4.53% in Q2FY24 from 4.31%, YoY. Provisions during the quarter dropped to ₹583 crore from ₹1,645 crore a year ago, and from ₹1,292.4 crore in the previous quarter. ICICI Bank’s September quarter result exceeded the expectations of market experts.

However, the private lender continued to move forward in its growth trajectory predicted by market experts. Read here: ICICI Bank Q2 results: Net profit rises 35.8% YoY at ₹10,261 crore, NII increase by 23.8% at ₹18,308 crore Here’s what brokerages have to say about ICICI Bank Q2 results and ICICI Bank shares: ICICI Bank reported a stellar set of Q2FY24 earnings. RoA in Q4FY23 was the highest in the least 15 years, it sustained with a marginal uptick in Q2FY24.

NIM compression was along expected lines, resulting in an in line NII and PPOP. However, PAT exceeded our estimate due to lower-than-expected credit cost, said Nuvama Institutional Equities. Advances/deposits exceeded our estimate by 1%/1.5%.