Brokerage Radar: Voltas sees target upgrades, UBS lifts Zomato's target price

Stock Market Trend

Check out the latest brokerage calls and analyst comments on the stocks in action today. Our coverage includes Voltas, Zomato, Paytm and more.

Voltas

Kotak Institutional Equities On Voltas
Sell Call, Target `1,100/Sh
Co Reported A Strong Quarter
Unitary Cooling Products Growth Was As Expected Due To Strong Summer
Segment EBIT Margin At 8.6% Missed Our Estimate Of 10%
Limited Margin Expansion & Unchanged Guidance Signify Intense Competitive Intensity In Sector
After Six Consecutive Quarters Of Loss EMP Segment Turned Profitable In Q1
Raise Estimates By 11-14%

CLSA On Voltas
Underperform Call, Target Raised To `1,310/Sh
Q1 Was Exceptionally Strong
Co Was Able To Regain Some Of The Lost Market Share Although Margin Has Been Soft
In Projects, With No Provisions, Margin Have Bounced Back But Guidance Remains Unchanged
Market Share Increase In Appliances JV, Voltas Beko Has Been Encouraging
With RAC Segment Implying A Valuation Of 58x FY26 P/E, See Limited Re-rating Potential

UBS On Voltas
Buy Call, Target Raised To `1,960/Sh
Co Has Strengthened Its Position In Room AC Segment
For Q2 Management Highlighted, It Generally Remains A Lean Period
Co Remains Optimistic On Demand For Voltbek Products In Q3FY25 Led By Festive Spend

Goldman Sachs On Voltas
Sell Call, Target `1,310/Sh
Positive Surprise In Q1 Came From Mechanical, Electrical & Plumbing (MEP) Segment
UCP Growth Was Strong & In-line With Co's Strategy Of Market Share Gain
Co’s Q1 Performance Reflects Ongoing Price Competition
Margin May Have Limited Room To Surprise Positively In Future
EMP Turnaround Should Result In Mean Reversion In Operations As Was Case In Quarter
Sustainability Of Ordering Is Key

UBS On Zomato
Buy Call, Target Raised To `320/Sh From `260/Sh
Q1 Surprised Positively With Stronger Quick Commerce GMV Growth
Q1 Surprised Positively With A Solid 27% Growth In Food Delivery
Quick Commerce & Food Delivery Growth Came Ahead Of Estimates
Margin Expansion In Both Quick Commerce & Food Delivery Came Above Estimates
Management Was Optimistic With An Implicit Positive Guidance Revision
Post For Q1 FY26-28, GMV Est Is Up 20-30% For Quick Commerce & 2-3% For Food Delivery
Co Is Trading At FY27 EV/EBITDA Of 35x Vs Average Of Indian Consumer/Retail Peers At 30x
Co Has A Superior Growth & Margin Expansion Profile

Bernstein On Paytm
Outperform Call, Target `600/Sh
Discussions About ‘Intrinsic Value’ Of Platform & Potential Upside Scenarios Have Returned
Routes To Value Creation That We See For Co Includes Continued Journey In Current Format
Value Creation Route Includes Finding Corporate Parent That Could Ease The Regulatory Overhang
A Merger With A Bank/NBFC Could Unlock Full Value Of Platform

HSBC On Aurobindo Pharma
Buy Call, Target `1,625/Sh
FDA Issued A Warning Letter To Eugia 3, Co’s Key Injectable Plant
Plant Status Is Already Classified As ‘OAI’
See Low Risk Of An FDA Import Alert For Plant
Believe FDA Remains Focused On Ensuring Supplies To US
Assume 11% Risk To FY25/26 EPS Estimates

HSBC On Shriram Finance
Buy Call, Target Raised To `3,600/Sh
Co Is In Its Most Convincing Operating Period In Over A Decade
Co Is In Its Most Convincing Operating Period Due To Strategic Clarity & Healthy Metrics
At 1.7x FY26 BVPS, Stock Still Retains Several Re-rating Triggers
Co Also Has Option Value Of A Credit Rating Upgrade
Risks For Co Include Dependence On The Vehicle Finance Portfolio For Growth
A Slowdown In AUM Growth Would Be Negative
Disproportionate Stress In Its Personal Loan Portfolio Could Impact Confidence In Its Asset Quality

Morgan Stanley On Oil Marketing Companies
Integrated Margins YTD Tracks 10-45% Above Mid Cycle Margin For Gasoline & Diesel
Prefer HPCL Over BPCL & IOCL, As Margin Start To Pick Up
Prefer HPCL Over BPCL & IOCL As Benefits Of Hardware Upgrades/Expansion Starts Flowing Through

CLSA On Steel
India Initiates Anti-dumping Investigation Against Imports From Vietnam
Even If Imposed, See Limited Impact As Vietnam Accounts For Small Portion Of Steel Imports
Domestic Steel Prices Are At An 8% Premium To Parity
Duties Will Have To Be Substantial To Raise Domestic Prices, & India Is Now Net Exporter Of Steel
Maintain Underperform Call On Steel Companies
Any Uptick In These Stocks Would Be Viewed As An Exit Opportunity

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