Brokerage: Motilal Oswal | Rating: Buy | Target: Rs 1,170
The brokerage house highlighted that the firm acquired 51% stake in Tata Business Support Services. It said that Tata Biz Support Services would fit into Quess' technology solutions portfolio. Further, it said that the valuation for the deal is attractive given Quess' multiples of 2.5x sales & 46x EBITDA.
Brokerage: Motilal Oswal | Rating: Buy | Target: Rs 211
The brokerage house said that valuations for the firm are attractive. It sees he firm adding GW of capacity over FY19-21 and this capacity ramp up will drive healthy growth in regulated equity. It expects EPS to grow at a CAGR of 14.1% over FY17-20. It also sees capitalisation to outpace capex over 2-3 years, which will boost a re-rating.
Brokerage: Citi | Rating: Buy | Target: Rs 700
Citi believes that the margin post Strides’ India branded business may be on the lower side. It sees potential to unlock synergies on various fronts post acquisition of Strides India business. Further, it said that Q2 was strong & asking rate for H2 remains benign.
Brokerage: Citi
Citi said that the firm is a top pick as we see shift forward in its US generics journey. It expects upside from operating leverage given low base, suppressed profitability. Going forward, operating leverage could drive healthy growth over the next few years.
Brokerage: Kotak Sec | Rating: Add | Target: Rs 1,400
Kotak Securities said that a recent increase in crude prices may lead to superior yield management by the firm. Further, the decision to purchase aircraft in the future may yield long-term benefits, it added. This capacity addition could revive volume growth.
Brokerage: Anand Rathi | Rating: Downgrade to Sell | Target: Rs 2,006
The brokerage expects revenue to clock an 11% CAGR over FY18-20 to Rs 950 crore. Delayed implementation of DBT, higher input costs would weigh on margins, it added. It also expects profits to be lower than that of company guidance.
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