Brokerage Radar: Gland Pharma, Cipla, Sun Pharma receive 'Neutral' rating

Stock Market Trend

Check the brokerage calls and comments on the stocks in action. Today we cover Jubilant Food, Ramco Cements, PNB Housing Finance and others following their Q4 results.

Jubilant Food

MS On Jubilant Food

Equal-weight Call, Target Cut To `427/Sh

Q4 Earnings Missed Expectations On Weaker Margin

Current Operating Deleverage Cycle Has Resulted In Significant Cuts To Estimates

Improved Underlying Demand Remains Key To A Recovery

LFL Turned Positive On A Weak Base, Dine-In Continues To Decline

Mgmt Believes Domino's Has Gained Market Share Within The Pizza Format

India Business In Investment Mode For Next Few Years

Jefferies On Jubilant Food

Hold Call, Target Cut To `475/Sh

Saw Some Stabilisation In LFL, Although Margin Contracted To A Multi-Qtr Low

Delivery Trends Improved While Dine-In Was Under Severe Pressure

Growth Focus Was Visible On The Call

Mgmt Taking Calls, Including Difficult Ones To Drive Growth

DP Eurasia Inclusion Transforms Co From India To One Of The Largest EM Franchise

Onus Is On Mgmt To Create Value In Overseas Piece

Ramco Cements

Nomura On Ramco Cements

Buy Call, Target `1,100/Sh

Q4 Margin Under Pressure Due To Lower Pricing Environment In Core Markets

EBITDA/t, Down 15% YoY, Missed Est By 5%, As Cement Realisation Came In 1% Below Est

Stock Is Currently Trading At 11.3x One-year Forward EV/EBITDA

Jefferies On Ramco Cements

Underperform Call, Target Cut To `690/Sh

Co Continued Its Vol Push Strategy Registering 17% Vol Growth & CU Of 96% For Q4

Unit EBITDA Slipped `240/t QoQ, 10% Miss On EBITDA

Slip In Unit EBITDA Reflected 8% Drop In Pricing Offsetting QoQ Oplev Benefits

FY24 Net Debt Remains Elevated With Net Debt/EBITDA At 3x

Believe Consistently Higher Leverage Will Continue To Weigh On Investor Sentiment

MS On Petronet

Equal-weight Call, Target `239/Sh

Co Is A Play On Doubling Natural Gas Penetration In India's Primary Energy Mix

Co Ticks A Lot Of Boxes As It Grows Capacity & Utilisation Rates

Q4 Core Earnings Of `850 Cr Slightly Missed Estimates

MS On PNB Hsg Fin

Overweight Call, Target `1,025/Sh

Liked Co’s Intent To Build A More Granular Retail-Focused Loan Book

Liked Co’s Focus On Higher-yielding Loan Segments Like Affordable & Emerging Mkts

Co Is Committed To 17% Loan Book CAGR From FY24-27 & RoA Of 2.4-2.6% By FY27

MS On Torrent Power

Underweight Call, Target `1,035/Sh

Q4 Results Weaker Than Estimates

Distribution Biz Reported AT&C Loss Reduction In All Assets Except Ahmedabad

Renewables Pipeline Is Encouraging

Adjusted PAT Was -3% & -15% Vs Estimate And Consensus

3GWp Of Renewables & 2 Transmission Assets Will Be Commissioned At A Cost Of `2,000 Cr

MS On Grasim

Equal-Weight Call, Target `2,560/Sh

Standalone EBITDA Was Above Estimate And Largely In-line With Consensus

The Viscose Business Did Well While Chemicals Were Weak

Paints Business Commenced, And The B2B E-commerce Business Continues To Grow

MS On Power Grid

Overweight Call, Target `296/Sh

Standalone Adjusted PAT Was Up 7% Vs Estimate & -6% Vs Consensus

Beat On Estimate Driven By Other Income

Consolidated Adjusted PAT Was +3% Vs Estimate

Nomura On Sun Pharma

Neutral Call, Target `1,444/Sh

Q4 & FY25 Guidance Below Estimate

Q4 Sales/EBITDA 5%/4% Below Estimate

Co Expects Revenue Growth In High Single-digits In FY25

Think, In Near Term, Earnings Momentum Is Stalled As Co Is Stepping Up Invsts In Specialty

Nomura On Gland Pharma

Neutral Call, Target `1,570/Sh

Q4 A Mixed Bag: Strong Core; Weak Cenexi

Cenexi Remained A Drag With Revenue Declining 18% QoQ

Co Expects Cenexi To Get To High-teen EBITDA Margin In The Medium-term

Management Indicates No Loss Of Long-term Business

Delay In Resolving Issues At Site Can Adversely Impact Customer Relationship & Order Book

Nomura On Cipla

Neutral Call, Target `1,535/Sh

Cipla Announced Approval For Gsomatuline

Raise FY25/26F Earnings By 3%

Stock Is Currently Trading At 31.4/25.8x FY25/26 Ex-Grevlimid EPS Of `45.9/55.8

Nomura On BEL

Buy Call, Target `317/Sh

Increase FY25/26 Margin By 109/79 bps On Strong Commentary

Think Co Is Now Moving Into A New Margin Trajectory Which Is Commendable

Co Expects Revenue Growth Of 15% YoY In FY25 Supported By A Strong Order Backlog

Order Inflow Guidance At `25,000 For FY25 Demonstrates Continued Strength In Base Orders

Jefferies On Paytm

Hold Call, Target `400/Sh

Co’s Q4 Rev Declined 20% QoQ & Will Shrink Another 30% In Q1FY25

Q1Fy25 Revenue Will Shrink As Full Impact Of RBI Actions Come Through

Payment & Commerce Revenues Can Recover Faster On Higher Marketing Spend

Scale-Up Of Lending Will Be Gradual For The Co

Expect Topline Recovery & Cost Control To Drive Positive Cashflow

Believe Valuations (1.8x Jun'26 EV/Sales) Capture Near Term Pressure