ICICI Pru AMC bucks market trend; stock rallies 5% in 2 days, hits new high

ICICI Prudential AMC stock hit a new high of ₹3,174.30 in Tuesday's intra-day trade and has zoomed 47 per cent against its issue price of ₹2,165 per share.

ICICI Prudential Asset Management Company (AMC) share price today

 

Share price of ICICI Prudential Asset Management Company (AMC) hit a new high of ₹3,174.30, gaining 1 per cent on the BSE in Tuesday’s intra-day trade, bucking the weak market trend. In the past two trading days, the stock rallied 5 per cent.

 

With the past two days up move, the stock has zoomed 47 per cent as against its issue price of ₹2,165 per share. ICICI Prudential AMC made its stock market debut on December 19, 2025.

 

Thus far in the calendar year 2026, the stock has outperformed by soaring 19 per cent, as against 3.6 per cent fall in the BSE Sensex. 

 

 

At 02:16 PM; ICICI Prudential AMC was quoting 0.7 per cent higher at ₹3,153.45, as compared to 1.2 per cent decline in the benchmark index. 

 

ICICI Prudential AMC overview

 

ICICI Prudential AMC is involved in managing mutual funds, providing portfolio management services, managing alternative investment funds, and providing advisory services to offshore clients.

 

With a strong market share, ICICI Prudential AMC is among the most profitable AMCs in the industry. The company is well-placed to capitalize on the shift in retail investment preferences. A strong market presence, fund performance track record and a wide product bouquet, along with the support of the ICICI brand, are key enablers. The company commands the highest return on equity (RoE) among listed AMCs, reflecting efficient capital utilisation and strong operating margins. 

 

The mutual fund industry has seen a robust growth over the last five years with the industry asset under management (AUM) growing three-fold. The industry's QAAUM grew by 18.1 per cent year-on-year (YoY) and 5 per cent sequentially in December 2025 quarter (Q3FY26) and it has reached ₹81.0 trillion.

 

AUM of managed funds to double past ₹455 trillion by 2030

 

Managed funds have become a force to reckon with as the shift in India’s investment narrative gains traction, with savings increasingly moving from traditional avenues such as fixed deposits to professionally managed, market-linked portfolios, indicates Crisil Intelligence report, ‘The ascent of alternatives’.

 

The report projects the AUM of India’s managed funds (MF) industry to grow 2.1x from ₹212 trillion last fiscal to ~₹455 trillion by fiscal 2030, as financialisation and investor participation increase. That would take managed investments to ~73 per cent of GDP, compared with ~64 per cent as of last fiscal.

 

The growth of managed products is likely to be driven by sustained rise of mutual funds and continued scaling of alternative funds. By fiscal 2030, mutual funds are likely to gain the highest market share among managed funds, driven by rising equity participation through systematic investment plan-led flows and deeper penetration. The alternative investment funds (AIFs) will gain share as investors, especially domestic institutional investors, seek diversification and enhanced yield within their portfolio, Crisil Intelligence said.

 

ICICI Securities sees more upside in ICICI Prudential AMC

 

India’s asset management sector has surpassed expectations positively in terms of AUM growth (22 per cent/19 per cent compound annual growth rate (CAGR) in 5/10 years). Even so, the sector is far from exhausted. 

 

Analysts at ICICI Securities envisage significant long-term potential, considering India’s GDP prospects and current under-penetration in terms of unique mutual fund investors (~only 59 million). Further, regulations will likely foster systematic expansion of the industry, yielding inherent scale benefits accruing to consumers and insulating the industry from disruptions. 

 

ICICI Prudential, with its strong industry position, scale and track record, is among the best plays in this space. The brokerage firm has initiate coverage with a 'Buy' rating, basis a 40x FY28E core EPS of ₹84.7 and cash of ₹135/share, resulting in a target price of ₹3,525.

 

AUM to GDP ratio for India has reached 20 per cent, as of March 2025, but remains lower than that for global peers. Among individual investors, there is strong SIP-led equity culture while allocating savings into mutual funds. MF AUM as a percentage of bank deposit has doubled in the last 10 years, from 14 per cent in FY15 to 29 per cent in FY25.

 

Monthly SIP flows are at an all-time high, providing stability to Indian markets. The industry is also evolving in terms of High Net-worth Individuals (HNI)/Ultra High Net-worth Individuals (UHNI) demand for Portfolio Management Services (PMS), Alternate Investment Funds (AIF) and advisory services and new products like Systematic Investment Funds (SIF). The regulatory environment remains favourable, with a better yield outlook, incrementally led by the passage of recent regulations on total expense ratio (TER).  =============================================  Disclaimer: View and outlook shared on the stock belong to the respective brokerages and are not endorsed by Business Standard. Readers discretion is advised.