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Buy, sell, hold: 18 stocks that analysts are watching out

Goldman Sachs retains buy call on Bharti as recent correction offers attractive entry point. It says new offer may help Bharti to gain some subscriber market share. It says Vodafone and idea may come up with similar plans in the near future.

January 04, 2017 / 14:43 IST
     
     
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    Moneycontrol Bureau Power GridDeutsche Bank reiterates buy with target increased by 7.5 percent to Rs 215 per share. It says with declining interest costs, the stock could continue to re-rate. It likes that the company’s stable capex, positive equity free cash flow (FCF) and profit-doubling in four years.

    Bharti AirtelGoldman Sachs retains buy call as recent correction offers attractive entry point. It says new offer may help Bharti to gain some subscriber market share. It says Vodafone and idea may come up with similar plans in the near future. AutosCLSA has buy call on Maruti, Tata Motors and Eicher amongst original equipment manufacturers (OEM). It has increased target for Maruti to Rs 6650 from Rs 6050 per share. It says Bharat Forge and Motherson are top auto component picks. It has outperform rating on Bajaj Auto and underperform call on M&M. It has sell call on Hero Moto, TVS Motor & Ashok Leyland. It says competition will be high but stable in most segments in 2017.

    BanksCredit Suisse continues to prefer well capitalised banks such as HDFC Bank, IndusInd and ICICI Bank stating major rate cuts will lead to 10-15 basis points drop in margins. It expects bank earnings to be weak in Q3 as loan growth moderates to just 6 percent.

    VA Tech Wabag Credit Suisse maintains outperform rating with some near-term issues but says it is well placed for 2017. It says the company has a strong position in a sector where opportunities are significant and conclusion of the Oman settlement can help margins FY18 onwards. It adds that Oman project could impact FY17 margins by 100 bps. It has reduced earnings by 8-23 percent due to the additional provisions in FY17.Dish TVBank of America Merrill Lynch maintains buy as competition intensity may stabilise post Dish/Videocon D2H merger.  It expects demonetisation to affect operations for next two quarters. It has cut FY17-19 EPS by 4-5 percent with target reduced by 3 percent to Rs 100/ per share. VedantaJP Morgan remains overweight on the stock but says key risk is a collapse in commodity prices, especially zinc. It says the company has potential to re-rate as India’s premier resource play and the market is still not valuing the company's growth pipeline across businesses. It adds at full utilisation target will move to Rs 400 at spot prices.

    first published: Jan 4, 2017 08:12 am

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