Brokerage Radar: Divi's Labs, Paytm receive positive calls but LIC Housing Fin gets mixed calls

Stock Market Radar

Check out the latest brokerage calls and analyst comments on the stocks in action today. Our coverage includes LIC Housing Finance, Divi's Labs, Gland Pharma, ONGC and Aster DM, among others.

Nomura On LIC Hsg Fin
Buy Call, Target Cut To Rs 700/Sh From Rs 795/Sh
Q3 Profit Was 4% Ahead Of Estimates As Slight NII Miss Was Offset By Lower Provision
AUM Growth Was Muted As State Specific Issues Affected Disbursements
NIM Was Stable QoQ, But May See Some Pressure With A Lag If Rates Are Cut
Asset Quality Was Stable
See Muted EPS CAGR & 13-14% RoE Over FY25-27
At 0.8x FY26 BV, Valuations Seems Reasonable

HSBC On LIC Hsg Fin
Upgrade To Hold, Target Raised To Rs 600/Sh
Co Continues To Lose Market Share & Is Facing Pricing Challenges
Lower Credit Cost Offsets Earning Pressure
Upgrade EPS Estimate On Better Asset Quality Outlook
Current Valuations Have Corrected Materially

HSBC On Aster DM
Buy Call, Target At Rs 580/Sh
Q3 Operationally In-line With Est.; Higher Tax And One-offs Hit Its Reported Profit
Outlook On Hospitals Biz Remains Robust On Beds-addition Plan & Continued Focus On Efficiency
Sustained Pick-up In Operating Margin Remains Key Catalyst

MOSL On Vinati Organics
Buy Call, Target At Rs 2,600/Sh
Operational Performance In-line; Guidance Intact
EBITDA In-line; Profit Missed Due To Lower-than-expected Other Income
Co Guides For Revenue CAGR Of 20% In Next 3 Yrs, Driven By New As Well As Existing Products

Bernstein On Paytm
Outperform Call, Target At Rs 1,100/Sh
Co To Acquire 25% Stake In A Brazil-based Embedded Finance Startup For $ 1 m
See Acquisition Of Brazil-based Embedded Finance Startup As A Negative Development
The Development Is Negative For A Business That Is Yet To Turn Profitable In Its Home Market
Idea Of Going After Newer Shinier Markets Would Question Assumption
Co’s Ability To Stay Focused On A Large Is Attractive But This Is Increasingly Competitive Mkt

Jefferies On Divi’s Labs
Hold Call, Target At Rs 6,280/Sh
Q3 Revenue Was In-line While EBITDA Came In Ahead On Better Product Mix
Custom Synthesis Continued To Lead Growth, While Gx Also Rebounded In The Quarter
Gx Pricing Remains Under Pressure, Which Was Offset By Higher Volume In The Quarter
Co Confident On GLP-1 But Needs To Overcome High Product Concentration Of Sacubitril Valsartan In FY27

Jefferies On Gland Pharma
Underperform Call, Target Cut To Rs 1,350/Sh
Another Disappointing Quarter With Weak Revenue Growth In Base Business
Co Saw Further Drag From Acquired Cenexi Business
Co Expects Base Biz To Recover In Q4 But Cenexi Breakeven Timelines Have Been Pushed Out By A Yr
Execution Remains Weak And Stock Lacks Near Term Catalysts
Lower FY25-27 EPS By 1-4%, Building A Slower Cenexi Recovery