>Global Vs Domestic banking index (NETWORTH CAPITAL)

Since Oct31st 2007, when the Global Banking and Financial Index made an all time high, the Global Index has fallen by 73.60% in USD terms, while during the same period the domestic banking index has fallen by 71.54% in USD terms.

But ICICI Bank fell as much as 84% in USD terms during the same period.

Since Oct 27th 2008, when Indian markets made an intraday low, Global Banking & Finance Index has fallen by 31.86% in USD terms, while during the same period the domestic banking index has fallen by 20.73% in USD terms. But ICICI Bank has fallen by 19.27%.

Since Jan 01st 2009, the Global Banking and Financial Index has fallen by 34.1% in USD terms, while during the same period the domestic banking index has fallen by 37.90% in USD terms and ICICI bank has fallen by 46.23%.

The slides shows that ICICI bank has been a gross underperformer Vis-a-Vis the world and the current stock price is reflecting news in comparables to Citi, Lloyds, Bank of America and Merrill Lynch, but the fact is ICICI is in much much better shape than its global peers. We believe that the underperformance of ICICI is an opportunity to BUY at current price of Rs. 263 for a return of over 25% in short term.

To see full report: GLOBAL BANKING INDEX