Exide Brokerage: Bank of America Merrill Lynch Rating: Buy Target: Rs 172 Rationale: Exide will hike automotive battery price by 5% from the 18th of October according to its dealers. This price hike could help Exide achieve its target of around 18 percent EBITDA margin. FY14 EPS could rise by 9.3 percent keeping other factors constant.
Maruti Brokerage: Bank of America Merrill Lynch Rating: Buy Target: Rs 1,650 Rationale: The launch of the improved version of Alto 800 will aid in the revival of the mini segment and enable the company to regain share from competing models. Maruti remains their preferred pick in the auto space.
MindTree Brokerage: Macquarie Rating: Neutral Target: Rs 650 Rationale: The management disclosed in the conference call that fy13 dollar revenues would grow below 11 percent versus a target of between 11-14 percent articulated last month. Muted future demand commentary is a concern.
GMR Brokerage: Goldman Sachs Rating: Neutral Target: Rs 28 Rationale: GMR will be required to infuse Rs 210 crore, while GVK around Rs 560 crore, in new equity, if the proposal of ADF abolition goes through. Though the additional equity will earn a regulated return for the operators, the immediate infusion of cash will be a real concern and may result in further increase in leverage for both companies.