We have collated a list of recommendations from top brokerage firms from ETNow:
Jefferies on Bharti Airtel: Buy | Target: Rs 1,300
Jefferies has maintained a buy view on Bharti Airtel for a target price of Rs 1,300. The US brokerage said that the management’s focus is now on driving a steady, organic increase in ARPU (average revenue per user) through improving subscriber mix and better monetisation. While the timing of tariff hikes remains uncertain, they remain key for 5G monetisation and improving ROCES.
The management is expecting the capex to moderate from FY25 and aims to deleverage the balance sheet further, Jefferies said.
Jefferies on MGL: Buy | Target: Rs 1,540
Jefferies has reiterated a buy view on Mahanagar Gas stock and hiked the target price to Rs 1,540 from Rs 1,515. The margin hit is cushioned by falling feedstock costs, Jefferies said. Moreover, a soft LNG market is providing additional leverage to protect margins. UEPL (Unison Enviro Private Limited) is expected to aid the volume growth.The EV penetration remains low in the absence of strong policy support which acts as a negative, Jefferies said but correction presents a favourable risk-to-reward.
HSBC on Cummins: Buy | Target: Rs 3,300
HSBC has upgraded the stock to ‘Buy’ from ‘Neutral’ and raised the target price to Rs 3,300 from Rs 2,600. The company is witnessing strong growth and the transition to the new emission control norm in a strong demand environment is likely to be value growth and margin accretive. The growth outlook across end markets in the domestic market is looking solid while exports are bottoming out, the brokerage said in a note. It expects a strong earnings outlook with high visibility.
BofA on Bajaj Finance: Buy | Target: Rs 9,175
BofA has maintained a buy rating on the counter placing the target price at Rs 9,175. It said that a de-rating of 24% over 5 months is excessive. With liquidity improving, the growth outlook remains strong. The asset quality trends are also healthy.
CLSA on Avenue Supermarts: Buy | Target: Rs 5,107
CLSA has initiated a buy rating on the DMart operator for a price target of Rs 5,107. It said that the private labels under the brand are rising and should drive the next leg of share gains. The company offers the lowest consumer prices due to the lowest operating cost in its view. The $500 billion addressable market is less than 5% organised.
Kotak Securities on IRB Infra: Add | Target: 65
Kotak Securities has upgraded the stock to ‘Add’ from an earlier ‘Sell’ stance and raised the target price to Rs 65 from Rs 60. The company is adding strategic partners at the private InvIT and the amended model concession agreement paves the way for BOT (built, operate, transfer) ordering. The road sector awarding has shifted to TOT (toll operate transfer) and BOT projects, with NHAI’s focus on managing its debt levels.
With a Rs 44,400 crore BOT pipeline for FY24, Kotak sees players such as IRB, with its strong balance sheet, best placed to benefit.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
