Credit Suisse upgrades Bharat Forge to Outperform, expects 22% rise after recent correction

Credit Suisse has upgraded forging company Bharat Forge to Outperform rating with a target price of Rs 750 per share as it feels the near-term traction is solid which represents entry point.

The stock price has corrected more than 20 percent in last two months.

"US commercial vehicle slowdown can be easily absorbed," the global brokerage firm said, adding the cyclicality has reduced over the years as company brought down share of commercial vehicle to 45 percent.

According to Credit Suisse, FY19 is likely to be a very strong year as all major engines seem to be firing.

US Class 8 order inflow is still strong and it is increasing content per vehicle, the research house said.