A

PROJECT REPORT
ON

“A STUDY ON CONSUMER BEHAVIOR TOWARDS LIFE

INSURANCE PRODUCT”
SUBMITTED BY
RAHUL DATTA GANDOLE

(STREAM- MARKETING)

UNDER THE GUIDANCE OF

Ms. VIRAL AHIRE

SUBMITTED TO
SAVITRIBAI PHULE PUNE UNIVERSITY

IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF

DEGREE OF

MASTERS IN BUSINESS ADMINISTRATION (MBA)

THROUGH

D. Y. PATIL INSTITUTE OF MASTER OF COMPUTER APPLICATION AND

MANAGEMENT, AKURDI, PUNE

PUNE YEAR 2022-2024

 EXECUTIVE SUMMARY

The Internship report is prepared as requirement of MBA program of Savitribai Phule Pune
University. This report is on "A study on consumer behavior towards life insurance
product” This report is intended to assist the reader in detailed understanding the financial
performance of a life insurance in India. The purpose of this report is to have an idea about
the "consumer behavior toward life insurance.”

The primary objectives of this study are to identify and analyze the key determinants of
consumer behavior towards life insurance products. Through an in-depth examination, the
report seeks to uncover patterns, preferences, and influencing factors that shape consumers'
decisions in the life insurance market.
 ACKNOWLEDGEMENT

I would like to take this opportunity to express my sincere thanks and gratitude to my college
D. Y. PATIL INSTITUTE OF MASTER OF COMPUTER APPLICATION AND
MANAGEMENT, AKURDI, PUNE for all their guidance, inspiration, constructive
suggestions which helped me in the project.

The successful start of this project was made by their guidance and co-operation.

I owe my heartfelt gratitude and deep regards towards my guide Ms. VIRAL AHIRE for
leading and directing me at every step of the project. I would like to thank her for her
invaluable help and for her crucial role throughout the course.

Last but not the least I would like to thank all the people who directly indirectly who have
helped and encouraged me in completing the project effectively and timely.

Signature of the student

(Rahul)
Sr no PARTICULARS Page no
1 INTRODUCTION OF A COMPANY: -
➢ HISTORY
➢ BRANCHES
➢ HOLDINGS
➢ STRUCTURE
➢ OPERATION
➢ IPO
2 PLANS AND POLICY
3 OBJECTIVE OF THE ANALYSIS
4 BENEFITS TO THE INSURANCE POLICY HOLDER
5 MARKETING STRATEGY
6 WHY TO OPT FOR LIC PLANS
7 AWARDS AND ACHEIVEMENTS
8 CONCLUSION
9 REFRENCE
CHAPTER – I: INTRODUCTION

Introduction to Study

History of Banking in India

The banking sector is the most important sector as it helps to develop the vital sectors
of the economy. The RBI set up in 1935 is the chief bank which was founded to control the
monetary policy in India. It took the responsibility of regulating the Indian banking sector
from 1935. After India's independence RBI was nationalized and given broader powers. This
was an important landmark in the Indian Banking system. The RBI in general regulated and
supervised the major financial system in India. Before the nationalization of the bank except
for State bank of India all the banks were privately controlled. By then the Indian Banking
sector had grown in strength and large number of people were employed. In 1969, 14
commercial banks have been nationalized followed by 6 more banks in the year 1980. With
the second phase of nationalization the Indian government controlled approximately 91% of
the banking sector. The total number of banks however came down to 19 with the merger of
New Bank of India with Punjab National Bank.
As the banking sector expanded and became increasingly complex due to innovation
and technological up gradations. The banks with time had to change the way they functioned
by offering new services to the customers. The rapid technological advancement has reduced
the transaction costs. Despite the progress that the banks have made post the 1991
liberalization there has been a decline in productivity and the profits of the banks have
reduced. Therefore, the government of India set up the Narasimha Committee to look into the
problems and recommend measures to improve the health of the financial system.
Currently the banking industry has entered into a new era with the era of
technological advancements and other challenges. Branches and ATM's will need to grow to
serve the bankable population. Banks will also have to adopt new technologies like CRM
which will automate certain systems. In additions to this they also need to understand and
adopt new technologies like cloud computing.
For the past three decades India's banking system has several outstanding
achievements to its credit. The most striking is its extensive reach. It is no longer confined to
only metropolitans or cosmopolitans in India. In fact, Indian banking
Fundamental Analysis
Fundamental analysis, which is also known as quantitative analysis, involves delving
into a company's financial statements (such as profit and loss account and balance sheet) in
order to study various financial indicators (such as revenues, earnings, liabilities, expenses
and assets). Such analysis is usually carried out by analysts, brokers and savvy investors.
Many analysts and investors focus on a single number--net income (or earnings) --to
evaluate performance. When investors attempt to forecast the market value of a firm, they
frequently rely on earnings. Many institutional investors, analysts and regulators believe
earnings are not as relevant as they once were.
Benefits of fundamental analysis
Fundamental analysis helps in:
1. Identifying the intrinsic value of a security.
2. Identifying long-term investment opportunities, since it involves real-time data.

These are the most popular tools of fundamental analysis of banks.

(i) Earnings per Share - EPS
(ii) Price to Earnings Ratio - P/E
(iii) Price to Book - P/B
(iv) CASA ratio
(v) Book Value
(vi) Return on Equity
Ratio analysis
Financial ratios are tools for interpreting financial statements to provide a basis for valuing
securities and appraising financial and management performance.
A good financial analyst will build in financial ratio calculations extensively in a financial
modelling exercise to enable robust analysis. Financial ratios allow a financial analyst to:
Standardize information from financial statements across multiple financial years to allow
comparison of a firm's performance over time in a financial model.

SCOPE OF THE STUDY

1. The study gives overview of banking industry to investors while investing
2. This study consists of Economic, Industry and Company framework of analysis with the
following aspects
 Economic analysis consists of various variables such as GDP, BOP, Inflation, FII etc.
 Industry analysis consists of Demand, potential market, growth and development etc.
 Company analysis consists of financial statement analysis, Companies prospects,
growth, and Management board of company.
 .

OBJECTIVES OF THE STUDY

 To analyze industry for assessing the strength and find out best performing banks.
 To carry out analysis of companies to select particular company performing well for
investment.
 To compare the bank's financial performance on last five years.
 To provide investment decisions

LIMITATIONS OF THE STUDY

 Limited study done due to time constraint on the project.
 For the fundamental analysis, only 3 banks were analyzed. All banks are not included.
 The project study is restricted to banking sector used in India only.
 Fundamental analysis is a time-consuming analysis, efficiency of the analysis is
totally depending up on the availability of time. The analysis here conducted with
limited period of time.
 Future changes are largely unpredictable, so the past record is a poor guide to future
performance
 The analysis is based on my own interpretation and up to my best of knowledge but
every analyst has his or her own interpretation and suggestions.
 CHAPTER – II: ORGANIZATION PROFILE
Factsheet Inc, a rapidly expanding global Financial Research, Analytical Services, and
Financial Data provider, presents a profound and insightful report for decision-makers across
industries. With a vast repository of ready-made financial data for over 3,000 Indian listed
and private companies, including start-ups, and more than 2,000 companies from the US, UK,
Canada, UAE, Saudi Arabia, and various other countries, their comprehensive data ensures
informed decision-making on a global scale. The financial data is conveniently accessible in
Excel files, while their research reports are available in PDF and Word formats, catering to
diverse client needs.

With the expertise of their experienced personnel and an extensive global network, they delve
deep into crucial factors that profoundly impact their clients' business goals. Their research
platform is dedicated to delivering high-quality, tailored investment research services,
empowering decision-makers in financial institutions, private equity firms, asset management
and wealth management companies, investment banks, brokerage firms, and start-ups to
make better-informed business decisions.

In addition to their rich repository of financial data and research reports, they offer a range of
customized services, including data analytics, financial and market research reports,
competitive analysis, start-up valuations, business modeling, investor pitch decks, investment
teaser building, and due diligence services. They cater to customers across industries, sectors,
sub-sectors, geographies, affiliations, and networks globally, ensuring that they have access
to the most relevant insights.

Their commitment to delivering up-to-date information is reflected in the regular publication

of financial models, reports, and competitor analyses every quarter, presenting the latest
numbers and pertinent information to guide strategic decision-making.

As a valued research and data partner, Factsheet Inc serves financial institutions and
consulting firms of all sizes, providing unparalleled expertise and support in their quest for
success on the global financial stage. This report stands as a testament to their dedication to
empowering businesses with invaluable insights for sustainable growth and prosperity.

Vision

Our goal is to establish ourselves as the foremost

investment banking firm renowned for our
extensive expertise in fundamental research,
market research, financial planning and analysis,
and funding. We aim to achieve this recognition
by fostering sustainable growth and delivering
exceptional value to our clients.

Mission

Our mission is to provide comprehensive

financial solutions and strategic guidance to our
clients through our proficiency in fundamental
research, market research, financial planning and
analysis, and funding. We are dedicated to
delivering exceptional investment banking
services that empower businesses to make
informed decisions, achieve their financial goals,
and navigate the ever-evolving financial
landscape with confidence and success.
 CHAPTER – III: REVIEW OF LITERATURE

Thomas Robinson (2002) in their study explained that Fundamental analysis involves
assessing a firm's equity value based on the analysis of published financial statements and
other information without reference to the prices at which a firm's securities trade in the
capital markets.
Seema Malik (2014) has analyzed the effect of technology on transformation of banking in
India and also studied the benefits and challenges of changing banking trends. Technology
and financial innovations have led to tremendous improvement in banking services and
operations over the past decade. Survival, growth and profitability of banks depend upon the
organizational effectiveness and operational efficiency in today’s competitive scenario where
customers’ needs are changing every day and technology is touching new highs.
.
Malaya Ranjan Mohapatra, Avizeet Lenka, Subrat Kumar Pradhan (2015) have
analyzed the operational efficiency of commercial banks in India and challenges faced by
public sector banks. The parameters considered for study are labour productivity, branch
expansion and profitability ratios. The study concluded that internal management and
employee efficiency of foreign banks are far better than other sectors of commercial banks.
Public sector banks are lagging behind in various financial parameters
Nishit V. Davda (2012): has studied and examined the economic performance and
sustainability of six major banks in the private banking sector ICICI, HDFC, - AXIS,
INDUSIND, ING VYSYA and KOTAK. The study attempts to analyze the profitability
position of the sample banking companies for a period of 10 years from 2002 to 2011. The
study reveals that HDFC has performed better in terms of Earning per Share than ICICI,
AXIS, KOTAK, INDUSIND BANK and ING VYSYA during the last ten years i.e. 2002 to
2011. The study also reveals that after KOTAK Bank, HDFC Bank has performed better in
terms of Net Profit margin than the remaining banks. On the other hand, among all the six
banks, ICICI has achieved the highest yield in terms of Return on Assets as compared to the
remaining selected banks.

Hanumantha Rao & Sudhendu Dutta (2014): attempted to study the fundamentals of the
banking sector in India. He considered operating profit margin, net profit margin, return on
equity, earnings per share, price earnings ratio, dividend per share and dividend payout ratio
for a period of six years from 2006 to 2012 for three major banks.
 CHAPTER – IV: RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. The research
methodology using for find out the solution of the research problem is analytical research
methodology and some extend descriptive research methodology
DATA SOURCES
Secondary data has been collected from various sources to analyze the fundamentals.
Following are the Sources
RBI
Annual reports
NSE
World bank
Money control
Other websites
Research Type
The segment identified for conducting the study is banking Sector in India. Analytical study
is used to conduct the study.

Data collection
secondary data is collected from websites, Books and magazines.
The study of fundamental Analysis of banking industry is to assess the performance of the
banking industry in India and select the most performing banking companies through the
analysis of macro and micro variables that affects the performance of particular company.
Tools for analysis
 Fundamental Analysis
For fundamental analysis, the following ratios are used:
 PE RATIO
 EPS
 ROE
 P/E ratio
 NET INTREST MARGIN
 CHAPTER – V: Data Analysis, Interpretation

COMPANY ANALYSIS
For analysis of banking companies, four banks were selected. The selection of these
companies was on the basis of the unique shareholding pattern of those companies. The
shareholders in a banking company are divided into six groups. These are Indian Promoters,
Foreign collaborators, Indian inst/Mutual Fund, Foreign Institutional Investors, Global
Depository Receipts (GDRs)/American Depository Receipts (ADRs), free float.
SHAREHOLDING PATTERN
Shareholding pattern reveals how the shares of a company are divided among the various
bodies that constitute its ownership.
Before buying any stock, we research the company from all possible angles. We take into
account the company's profit and loss, sales and debt, among other things and thus, try to
gather as much information as possible about the business into which we are going to invest
our hard-earned money so as to avoid nasty surprises in the future. This is also important
because when we buy a share, we are not just buying a piece of paper, but also becoming a
part owner of the business to the extent of the shareholding percentage.
Here, I am presenting the shareholding pattern of three banks i.e. State bank of India, ICICI
Bank and HDFC Bank
 State bank of India

Name of the shareholder Equity held%

Promoters 57.49%

Mutual funds 11.98%

Foreign institutions 10.72%

Other domestic institutions 10.51%

Retail and other 9.30%

shareholder holding pattern

Retail and Promoters;

other; 9.30% 57.49%

Other domestic
institutions ;
10.51%

Foreign institu-
tions; 10.72%
Mutual funds ; 11.98%

NTERPRETATION
Indian Promoters owns 57.49% equity whereas 42.46% is held by Financial Institutions. The
rest are held by NBFC, Mutual Funds, General Public and Central Government
 HDFC Bank
Name of the shareholder Equity held%

Foreign institutions 52.11%

Mutual funds 19.71%

Other domestic institutions 19.34%

Retail and other 8.84%

share holding pattern

Retail and other;

8.84%
Other do-
mestic insti-
tutions; Foreign institutions
19.34% Mutual funds
Other domestic institutions
Foreign insti- Retail and other
tutions;
52.11%

Mutual
funds;
19.71%

NTERPRETATION
Foreign institutions own 52.11% of equity mutual funds holds 19.71% which is second
highest shareholder and other investors domestic institutions hold 19.34% and the remaining
us held by the retail and other investors.
 ICICI BANK
Name of the shareholder Equity held%

Foreign institutions 44.38%

Mutual funds 29.67 %

Other domestic institutions 13.72 %

Retail and other 12.23%

shareholding pattern

Retail and
other; 12.23%
Other domes-
tic institu- Foreign insti-
tions; 13.72% tutions;
44.38%

Mutual funds;
29.67%

Foreign institutions Mutual funds

Other domestic institutions Retail and other

NTERPRETATION
Foreign institutions own 44.38% of equity mutual funds holds 29.67% which is second
highest shareholder and other investors domestic institutions hold 13.72% and the remaining
us held by the retail and other investors.

Comparison of price of shares (2019-2023)

 Earnings per share

EARNING PER SHARE

83.33

82.64
68.77

62.35
57.88
49.84

48.86
39.64
36.21
27.26
25.11
22.15
14.81
6.61
2.58

2019 2020 2021 2022 2023

SBI 2.58 22.15 25.11 39.64 62.35
ICICI BANK 6.61 14.81 27.26 36.21 48.86
HDFC BANK 83.33 49.84 57.88 68.77 82.64

INTERPRETATION
Earnings per share ratio (EPS) is a financial ratio calculated by dividing net income by the
total number of issued common shares. Investors use EPS to assess a company's performance
and profitability before investing.

HDFC bank has most impressive earning per share ratio compare to ICICI an state bank of
India (SBI).

EPS = (Net Income – Preferred Dividends) / Weighted Average Shares Outstanding

PRICE EARNING RATIO

 PE RATIO
130
110
90
70
50
30
10
2019 2020 2021 2022 2023
STATE BANK OF INDIA 124.32 8.89 14.51 12.45 8.4
HDFC 13.91 17.29 25.81 21.38 19.48
ICICI 60.59 21.86 21.35 20.17 17.95

INTERPRETATION

in general, a high P/E suggests that investors are expecting higher earnings growth in the
future compared to companies with a lower P/E. A low P/E can indicate either that a
company may currently be undervalued or that the company is doing exceptionally well
relative to its past trends.

As can be seen from the chart SBI Bank has one of the highest potentials amongst the banks.
HDFC and ICICI have one of the least PE ratios.

CASA RATIO
 CASA RATIO
55

45

35

25

15

2019 2020 2021 2022 2023

STATE BANK OF INDIA 0 44.17 45.4 44.51 42.66
HDFC BANK 42.66 42.18 46.07 48.13 44.37
ICICI BANK 48.77 44.83 46.16 48.6 45.47

INTERPRETATION

CASA ratio of a bank is the ratio of deposits in current, and saving accounts to total deposits.
A higher CASA ratio indicates a lower cost of funds, because banks do not usually give any
interests on current account deposits and the interest on saving accounts is usually very low
3-4%.

ICICI bank has higher CASA ratio in 2023 compare to SBI and HDFC bank. But the CASA
ratio of all three banks is lesser than past year.

NET INTREST MARGIN RATIO

 NET INTREST MARGIN RATIO
4.25
3.75
3.25
2.75
2.25
1.75
1.25
0.75
0.25
2019 2020 2021 2022 2023
ICICI 2.64 2.91 2.95 3.09 3.6
SBI 2.5 2.59 2.51 2.49 2.7
HDFC 3.97 3.79 3.85 3.64 3.67

INTERPRETATION

Net interest margin (NIM) reveals the amount of money that a bank is earning in interest on
loans compared to the amount it is paying in interest on deposits. NIM is one indicator of a
bank's profitability and growth. HDFC bank is greater net interest margin ratio
(NIM)compare to other two banks.

Net Interest Margin = (Investment Income – Interest Expenses) / Average Earning

Assets.

RETURN ON EQUITY
 RETURN ON EQUITY
17
15
13
11
9 ICICI
7 HDFC
5 SBI
3
1
2019 2020 2021 2022 2023
ICICI 3.82 7.98 11.9 14.04 16.1
HDFC 14.53 15.45 15.17 15.38 15.89
SBI 0.98 8.69 8.89 12.53 16.8

INTERPRETATION

Return on equity (ROE) is a measure of financial performance calculated by dividing net

income by shareholders' equity. Because shareholders' equity is equal to a company's assets
minus its debt, ROE is considered the return on net assets. all the three banks are very good
return on equity ratio but ICICI bank shows great growth in past and present.
SBI also shown great growth in ROE ratio compare to previous years.

ROE = NET INCOME / SHAREHODER EQUITY

BOOK VALUE PER SHARE

 550

450

350

250

150

50

2019 2020 2021 2022 2023

ICICI 172.45 185.08 233.31 257.31 302.71
HDFC 564.29 321.63 380.59 445.99 518.73
SBI 262.75 254.69 282.35 316.22 371.08

INTERPRETATION

Book value per common share is a measure used by owners of common shares in a firm to
determine the level of safety associated with each individual share after all debts are paid
accordingly. In simple terms it would be the amount of money that a holder of a common
share would get if a company were to liquidate. The above figures are adjusted book value
per share

A stock may trade below its book value for several reasons, the foremost being lack of
investor confidence in the company's future. If it is widely believed that the company's
performance will deteriorate, its stock will possibly trade at a discount to its book value.
Another reason could be belief that the company is adopting aggressive accounting policies
to bloat its net worth.

Amongst the banks HDFC has the highest book value per share with Rs 518.73 while the rest
of the banks SBI and ICICI are trading at 371.08 and 302.71respectively. Book value should
not be seen in isolation.

NET NON-PERFORMING ASSET(NPA)

 NET NPA

3.01

2.29

2.23

2.1
1.54

1.5

1.02

0.81

0.67

0.51
0.39

0.36

0.32
0.4

0.27
2019 2020 2021 2022 2023
SBI 3.01 2.23 1.5 1.02 0.67
HDFC 0.39 0.36 0.4 0.32 0.27
ICICI 2.29 1.54 2.1 0.81 0.51

INTERPRETATION

Net Non-Performing Assets to total advances of each bank is well within the trigger level of
RBI. HDFC Bank being most conservative player in the field is having the lowest value of
the ratio. ICICI 's NPA ratio has decreased to about 0.30% of the total advances. SBI has
amongst the highest ratio of the NPA with about 0.67 % in 2023.
But SBI has very good at reducing there NET NPA compare to last 5 years.

Net non-performing assets = Gross NPAs – Provisions

CHAPTER VI: Findings & Suggestions

HDFC BANK
  The earning per share of HDFC bank is very impressive compare to other two banks.
 The price earnings ratio of HDFC bank is 19.48 in FY 2023.
 The CASA ratio of HDFC bank is nearly 45% in FY 2023 and return on equity
15.59% which is very good for the investment purpose.
 Book value of HDFC bank is highest among all the bank which is 518.
 The most important net non-performing asset ratio is 0.27 which shows continuous
improvement in asset quality.

ICICI Bank

 The earning per share has increase from 36.21% in 2022 to 48.46% in 2023.
 Net NPA stand about 0.51% in FY 2023 which continuously declining the previous
year NPA was about 0.81%.
 The price earning ratio of ICICI bank is 17.95 in FY 2023.
 The book value also getting better compare to previous year that is 302.71 in FY
2023.

State Bank of India

 The net NPA percentage is decreasing year by year but still not up to the mark net
NPA for FY2023 is 0.67.
 The earning per share shows exceptional growth in FY 2022 and FY 2023 that is
39.64 to 62.35.
 The CASA ratio is also good but decline in FY 2023 by nearly 2%.

Suggestion
One silver lining for the Indian economy that emerged out of the 2019(COVID-19) pandemic
was the banking sector. Contrary to expectations this sector remained relatively unscathed by
the pandemic, and proved to be quite resilient. In fact, FY2023 turned out to be a good year
for Indian banks. Several banks declared record profits in their annual results, banking stocks
rallied and there is a general sense of optimism about the banking sector. However, the way
forward seems less optimistic and ridden with several challenges. To understand why, we
need to look at the factors that have driven the current performance of the banking sector and
analyse the reasons behind these factors not working favorably in the future.

Banking apps to turn smart digital assistants

In 2023, there will be a shift from using banking apps as mere self- service tools to customer
relationship management platforms that anticipate the consumer's needs and provide
customized advice based on their financial situation.

The banking app will become a 'smart digital assistant' that can 'understand' the consumer's
needs and preferences based on their financial behavior over time. For example, if you
always transfer money to your savings account on payday but forget to top up your payment
card with funds for the coming month, the smart app will be able to predict that you will need
money for your card soon. The smart assistant takes proactive actions by communicating with
the customer and suggesting what they might want to do before they even realize it
themselves.

More people will get comfortable with banking on their own

The banking industry will become more customer-centric. Consumers are looking for more
personalized experiences with the ability to do more on their own. As digital transformation
progresses, many self- service offerings (e.g., mobile account opening) will be available at a
bank branch or ATM near you, enabling customers to open accounts quickly and easily
without having to visit the branch. In 2023, automated processes are expected across the
board to transform service quality, with self-service tools powered by advanced analytics
helping customers make faster and better-informed decisions

Banks to deepen customer relationships via AI, chatbots Al-driven chatbots

will be able to handle many different types of requests. For example, a chatbot could be
programmed to access a user's financial data and suggest products that might suit them, such
as upgrading their current credit card or opening a new savings account. Al is not just limited
to chatbots. Banks are also exploring other AI applications, including virtual assistants that
can handle customer requests through voice or text-based conversations and 'digital twins'
simulations of physical bank branches that customers cannot physically enter. In 2023, there
will likely be widespread adoption of AI technologies in finance. The majority of financial
institutions will have developed mature plans for implementing the technology into their
organizations, and many will have already begun testing various applications.

Focus on Big Data and analytics

With big data, banks will be able to put customer behavior at the very center of their business
models. They can provide more personalized services and improve sales by making the most
out of predictive analytics.

In the future, successful digital transformation will rest on how much a bank can learn from
its customers. Analytics will become essential in customer acquisition efforts as well as
market segmentation and cross- selling.

By 2023, expect to see more "closed-loop" solutions powered by fast and intuitive data
collection. This will allow banks to achieve a 360-degree view of their customers' needs,
providing them with contextually relevant information about discounts or personalized offers.

Recommendation
HDFC BANK

 The bank has recorded a very healthy growth in terms of its operating income and its
interest income.

 Also, the bank has expanded in various parts of the country with around 207 willing
to added in these FY 2023.

 branches Based on these favorable factors and also backed by a robust asset quality
and wholesale loan book it is recommended to BUY the stock

 HDFC treading at around NOV 1476 from around 1585 in JAN 2023.

ICICI

 ICICI is treading around at 920-924 in NOV 2023

.
 The bank has recorded a very healthy growth in terms of its CASA deposit and net
interest margin.

 Net Profit of the ICICI bank is growing continuously from past five years.

 All the financial factors put together makes ICICI bank share HOLD and can BUY for
long run.

State bank of india

 if an investor is looking for a long-time horizon it's recommended that he hold on to it

probably for a chance to turnaround.
 In the short term the stock looks strong at Rs 572 which is expected to rise at 790 in
the long run.
 Strong Performer. Stock with good financial performance alongside good to
expensive valuation.

Learning and observation

1.Understand Financial Statements:
• Learn to interpret financial statements, including income statements, balanc sheets, and cash
flow statements. Understand the components and how the interrelate.

2. Study Key Ratios:

Familiarize yourself with key financial ratios used in analyzing banks, such as Return on
Assets (ROA), Return on Equity (ROE), Net Interest Margin (NIM), a Capital Adequacy
Ratio (CAR).

3. Track Asset Quality:

Monitor non-performing loans (NPLs), loan loss provisions, and asset quality ratios. Assess
the quality of the bank's loan portfolio and its ability to manage credit risk.

4.Follow Industry News:

• Regularly read industry reports, financial news, and analyses related to the banking sector.
Stay informed about mergers and acquisitions, regulatory changes, and other significant
events.

5. Compare with Peers:

Compare the financial performance of a bank with its peers in the industry. Benchmarking
can provide insights into a bank's relative strength and weaknesses.

6. Monitor Technological Trends:

Understand the role of technology and digitalization in the banking sector. Observe how
banks are adapting to technological changes, as this can affect operational efficiency and
customer satisfaction.
 Chapter VII: Conclusion
As of my study on HDFC Bank, based in India, has been considered one of the
leading private sector banks in the country. Here are some reasons why investors have
historically found HDFC Bank attractive:

1. Consistent Financial Performance:

HDFC Bank has a track record of delivering consistent financial performance over the
years, with stable revenue and profit growth.

2. Strong Asset Quality:

The bank is known for maintaining a robust asset quality with a lower proportion of
non-performing assets (NPAs) compared to many peers.

3. Efficient Management:

HDFC Bank is often praised for its efficient and conservative management practices.
The bank is known for its prudent risk management strategies.

4. Digitalization and Innovation:

The bank has been proactive in adopting technology and innovation, offering a range
of digital banking services. This adaptability is often viewed positively in the context
of changing consumer preferences.

5. Market Leadership:

HDFC Bank is one of the largest private sector banks in India by market
capitalization and is considered a leader in the banking industry.

6. Diversified Product Portfolio:

The bank provides a wide range of banking and financial products, including retail
and wholesale banking services, which can contribute to revenue diversification.

7. Strong Corporate Governance:

The bank has a reputation for maintaining high standards of corporate governance,
which can be attractive to investors looking for transparency and ethical business
practices.

8. Stability and Long-Term Focus:

HDFC Bank has demonstrated stability and a long-term focus, which can be
appealing to investors looking for a reliable investment option.

.
State Bank of India Mar Mar Mar Mar Mar
2019 2020 2021 2022 2023

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS
Equity Share Capital 892 892 892 892 892
TOTAL SHARE CAPITAL 892 892 892 892 892
Revaluation Reserve 24654 23763 23577 23378 27756
Reserves and Surplus 195367 207352 229405 255818 298960
Total Reserves and Surplus 220021 231115 252983 279196 326716
TOTAL SHAREHOLDERS FUNDS 220914 232007 253875 280088 327608
Deposits 2911386 3241621 3681277 4051534 4423778
Borrowings 403017 314656 417298 426043 493135
Other Liabilities and Provisions 145597 163110 181980 229932 272457
TOTAL CAPITAL AND LIABILITIES 3680914 3951394 4534430 4987597 5516979
ASSETS
Cash and Balances with Reserve Bank of India 176932 166736 213202 257859 247088
Balances with Banks Money at Call and Short Notice 45558 84361 129837 136693 60812
Investments 967022 1046955 1351705 1481445 1570366
Advances 2185877 2325290 2449498 2733967 3199269
Fixed Assets 39198 38439 38419 37708 42382
Other Assets 266328 289614 351769 339925 397062
TOTAL ASSETS 3680914 3951394 4534430 4987597 5516979
OTHER ADDITIONAL INFORMATION
Number of Branches 22010 22141 22219 22266 22405
Number of Employees 257252 249448 245652 244250 235858
Capital Adequacy Ratios (%) 13 13 14 14 15
KEY PERFORMANCE INDICATORS
Tier 1 (%) 11 11 11 11 12
Tier 2 (%) 2 2 2 3 3
ASSETS QUALITY
Gross NPA 172754 149092 126389 112023 90928
Gross NPA (%) 8 6 5 4 3
Net NPA 658947 51871 36810 27966 21467
Net NPA (%) 3 2 2 1 1
Net NPA To Advances (%) 3 2 2 1 1
CONTINGENT LIABILITIES, COMMITMENTS
Bills for Collection 70023 55758 1706950 77730 64531
Contingent Liabilities 1116081 1214995 1706950 2007083 1826574

HDFC Bank Ltd. HISTORICAL

Mar Mar Mar Mar Mar
 2019 2020 2021 2022 2023

EQUITIES AND LIABILITIES

SHAREHOLDER'S FUNDS
Equity Share Capital 545 548 551 555 558
TOTAL SHARE CAPITAL 545 548 551 555 558
Revaluation Reserve 0 0 0 0 0
Reserves and Surplus 545 548 551 555 558
TOTAL RESERVES AND SURPLUS 153128 175810 209259 246772 288880
TOTAL SHAREHOLDERS FUNDS 153128 175810 209259 246772 288880
Minority Interest 502 577 633 720 860
Deposits 922503 1146207 1333721 1558003 1882663
Borrowings 157733 186834 177697 226967 256549
Other Liabilities and Provisions 58396 70854 77646 89918 100923
TOTAL CAPITAL AND LIABILITIES 1292806 1580830 1799507 2122934 2530432
ASSETS
Cash and Balances with Reserve Bank of India 46805 72211 97370 130031 117189
Balances with Banks Money at Call and Short Notice 35013 15729 23902 25355 79959
Investments 286918 389305 438823 449264 511582
Advances 869223 1043671 1185284 1420942 1661949
Fixed Assets 4220 4627 5100 6432 8431
Other Assets 50628 55288 49028 90910 151322
TOTAL ASSETS 1292806 1580830 1799507 2122934 2530432
CONTINGENT LIABILITIES, COMMITMENTS
Bills for Collection 49953 51585 44748 56968 0
Contingent Liabilities 1025125 1130474 975281 1400198 0
ICICI Bank Limited
HISTORICAL

Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023
EQUITIES AND LIABILITIES
SHAREHOLDER'S FUNDS
Equity Share Capital 1,289 1,295 1,383 1,390 1,397
TOTAL SHARE CAPITAL 1,289 1,295 1,383 1,390 1,397
Revaluation Reserve 3,070 3,143 3,125 3,229 3,092
Reserves and Surplus 1,289 1,295 1,383 1,390 1,397
TOTAL RESERVES AND SURPLUS 112,959 121,662 156,201 180,396 212,340
TOTAL SHAREHOLDERS FUNDS 109,889 118,518 153,076 177,168 209,248
Minority Interest 6,581 6,795 9,588 5,981 6,687
Deposits 681,317 800,784 959,940 1,091,366 1,210,832
Borrowings 210,324 213,852 143,900 161,603 189,062
Other Liabilities and Provisions 73,940 87,415 99,616 82,808 98,545
TOTAL CAPITAL AND LIABILITIES 1,238,79 1,377,292 1,573,81 1,752,637 1,958,491
4 2
ASSETS
Cash and Balances with Reserve Bank of India 38,066 35,312 46,302 60,229 68,649
Balances with Banks Money at Call and Short 49,325 92,541 101,268 122,897 67,808
Notice
Investments 398,201 443,473 536,579 567,098 639,552
Advances 646,962 706,246 791,801 920,308 1,083,866
Fixed Assets 9,660 10,409 10,809 10,707 11,070
Other Assets 96,580 89,312 87,052 71,399 87,545
TOTAL ASSETS 1,238,79 1,377,292 1,573,81 1,752,637 1,958,491
4 2
CONTINGENT LIABILITIES,
COMMITMENTS
Bills for Collection 49,579 48,401 54,846 75,233 86,458
Contingent Liabilities 2,612,07 3,003,054 3,021,34 4,552,341 5,035,951
2 4
 Bibliography

Websites

https://finance.yahoo.com
https://www.moneycontrol.com
https://www.hdfcbank.com
https://www.icicibank.com/
https://www.onlinesbi.sbi/
www.factsheetinc.com

books
One up on wall street
Stocks to riches: insights on investor behaviour
Bad money by vivek kaul