According to reports from CNBC TV18 and The Financial Express, brokerage firm Motilal Oswal has reiterated its 'Buy' rating on ICICI Prudential Asset Management Company Ltd. with a price target of ₹3,800 per share. The target price implies an upside of around 23% from Tuesday's closing price of ₹3,092, where shares ended 1.4% lower. The stock has gained nearly 18% so far in 2026 and has recently risen 5.6% in the last five trading days, with 3.7% gains in the past month and 4.3% in the past six months. Motilal Oswal's research report dated August 18, 2026, is based on 47x FY28E core EPS valuation methodology, with the brokerage stating that the company has multiple long-term growth drivers, which support earnings compounding.
As reported by CNBC TV18 and The Financial Express, ICICI Prudential AMC commands the highest market share in active mutual funds at 13.5% and equity-oriented hybrid funds at 26.6%. The asset manager manages mutual fund quarterly average assets under management (QAAUM) of ₹11.2 lakh crore and holds the position as India's leading active asset manager. Its equity QAAUM grew at a 33% CAGR between FY21 and FY26 to ₹6.1 lakh crore, outpacing industry growth of 29% during the period. The company's extensive distribution network of over 1.16 lakh distributors and 286 offices supports strong flow visibility and retail stickiness, with the brokerage noting that its extensive distribution network is expected to support long-term retail AUM growth.
According to CNBC TV18 and The Financial Express, alternatives are emerging as a meaningful earnings driver for ICICI Prudential AMC, with QAAUM of around ₹79,450 crore contributing nearly 10% of operating revenue. The alternatives business (including Portfolio Management Services (PMS), Alternative Investment Funds (AIF), and advisory services) is expanding rapidly and serves as a highly profitable earnings diversifier. Alternatives QAAUM reached ₹79,450 crore in June 2026, representing a 50% CAGR over FY23-26, with the brokerage highlighting that this segment offers superior monetisation with PMS and AIF net yields of around 95 basis points. The integration of ICICI Venture and ISEC's PMS businesses is also expected to aid growth, with the company's competitive position further strengthened by the integration of ICICI Venture and the approved acquisition of ICICI Securities' PMS business.
As reported by CNBC TV18 and The Financial Express, ICICI Prudential AMC contributed around 70% of incremental industry customer additions in Q1FY27, taking its customer base to 17.3 million. Its SIP franchise held around 15.4% market share in flows in Q1FY27, the highest in the industry. The company's extensive distribution network supports strong flow visibility, with the brokerage noting that the company now serves 17.3 million unique investors and captured 70% of the entire industry's incremental customer additions during Q1FY27. The company's resilient SIP franchise maintains the highest market share in flows at 15.4% as of Q1FY27, with its extensive distribution network expected to support long-term retail AUM growth.
According to The Financial Express, ICICI Prudential AMC posted strong financial results for Q1FY27, with net profit rising 23% to ₹965 crore compared to ₹784 crore in the same period last year. The company's revenue from operations surged 17.5% to ₹1,564 crore compared with ₹1,331 crore in the corresponding quarter a year ago, while total income advanced 18% to ₹1,745 crore as against ₹1,477.52 crore in the same period. Motilal Oswal estimates ICICI Prudential AMC's revenue, EBITDA and PAT to grow at CAGRs of 14%, 13% and 15%, respectively, between FY26 and FY28. The company's revenue yields remain best-in-class, driven by its leadership in higher-yield active equity and hybrid assets, with recent regulatory changes regarding Total Expense Ratio (TER) caps being fully passed through to distributors with minimal impact on profitability.
