We have collated a list of recommendations from top brokerage firms from ETNow:
Jefferies on Entero Healthcare: Buy | Target: Rs 1,510
Jefferies has initiated coverage on Entero Healthcare Solutions with a buy rating and a price target of Rs 1,510. This is a 50% upside from the current levels. The US brokerage expects a 20%+ organic revenue CAGR over FY 2024-26 while a 44% revenue CAGR and 8X increase in adjusted net profit over the same period. The company will benefit from industry consolidation and economies of scale, this brokerage opined.
Goldman Sachs on CreditAccess Grameen: Buy | Target: Rs 1,788
Goldman Sach has initiated a buy rating on CreditAccess Grameen for a price target of Rs 1,788, which implies an upside of 25%. The stock is currently riding an up-cycle and the company’s diversification will likely improve its visibility, Goldman said, which forecasts a healthy 21% PAT CAGR over FY2024-FY26E on a strong lending CAGR of 24%. The stock currently trades at 2.7x P/B and 12x P/E FY25E which is at a discount of 27% to NBFCs within its coverage.
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JMFL on Bharti Hexacom: Buy | Target: 790
JM Financial has initiated coverage on Bharti Hexacom with a buy rating and a target of Rs 790. Calling it a midcap pure-play on structural wireless ARPU growth story, JM said that the company has relatively lower capex and higher ROCE business versus parent Bharti Airtel. The company is expected to see a 10% ARPU CAGR via tariff hikes and its presence in high-growth potential markets such as Rajasthan and Northeast Circle augurs well for the company. The FY2024-30 EBITDA CAGR is seen at 15%.
Axis Capital on Indigo: Add | Target: Rs 4,100
Axis Capital has downgraded Interglobe Aviation to ‘Add’ from ‘Buy’. The brokerage feels that the 22% absolute performance in the last month leaves limited upside in the stock Indigo airline operator. It has raised the target price to Rs 4,100 from Rs 3,710. The stock price run-up discounts quite a few recent positives, Axis said in its review.
Investec on Indigo: Hold | Target: Rs 4,050
Investec has downgraded the counter from ‘Buy’ to ‘Hold’ though it raised the target price from Rs 3,500 to Rs 4,050. Investec foresee a notable slowdown in earnings growth in FY25 and expect earnings to broadly remain flat in FY25 versus FY24. It also sees a decrease in capacity expansions and a rise in operating costs with a sharp spike in Brent price posing downside risk.
CLSA on PVR Inox: Buy | Rs 2,280
CLSA has retained a buy on PVR Inox for a target of Rs 2,280. Multiplexes are the most popular form of outdoor entertainment, it said, adding that the company plans to add 150-160 screens each year with 40-45% of screens in South India. The risk-to-reward remains favourable, CLSA said as it conceded on near term content challenges while ruling out any structural risks for multiplexes.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
