Tata Motors, CESC, IT and Autos, among others, being tracked by investors on Wednesday.
Brokerage: Citi | Rating: Neutral
Citi said that it is not reading much into EIR issued to Duvvada unit at Vizag as it believes there is not much to conclude from EIR and appears to be a status update. It also said that the firm has one of the better US pipelines among Indian firms. The near-term picture remains hazy, given pricing pressure in the US, it added.
Brokerage: Macquarie | Rating: Overweight | Target: Rs 525
Macquarie said that the management is confident of better JLR volume growth & margin in H2FY18 & FY19. Further, it said that it is aiming for a 500 bps market share gain in the domestic commercial vehicle segment.
Brokerage: Macquarie | Rating: Outperform | Target: Rs 615
Macquarie said that the firm reiterated strong outlook for ad & subscription growth starting H2FY18. The company has ample levers to continue its investments & achieve 30%+ margin. Key focus areas are upcoming OTT offering (Zee5) and movie acquisitions.
Brokerage: Motilal Oswal | Rating: Buy | Target: Rs 1,360
The brokerage said it raise net profit estimates marginally by over 3% on higher Dhariwal PLF. Further, the demerger plans remain on track and the demerger will unlock value.
The brokerage house said that there was muted growth in October led by earlier festive season. Going forward, it expects PV/2-wheeler industry volume to grow at a strong 12%/14% YoY in FY18. It expects FY18 to be a tad soft for M&HCV & forecast 3% YoY growth in industry volume.
The research firm said that investors believe the worst for corporate earnings is past. Further, investors like government’s pro-growth stance in the PSB recap plan. Its preferred stories are ICICI Bank, SBI, M&M, ITC, Lupin, RIL, Bharti Airtel, and Jubilant Foodworks.
CLSA said that firms in the sector continue seeing challenges in retail & telecom while demand in insurance is returning. Some signs of BFS demand is coming back, but this can only be confirmed in CY19. The overall demand trajectory hasn’t improved but appears to have bottomed out, it added. Among stocks, HCL Tech, Infy are its top buys on attractive valuations & likely improved growth outlook.
Brokerage: Motilal Oswal
Motilal Oswal said that the distribution network is getting strengthened on improved central funding, but it has not boosted overall demand. It highlighted that political will has improved to tackle AT&C losses in some states. It likes Power Grid & NTPC on strong earnings growth potential & good visibility along with CESC where there is potential for value unlocking through demerger.The Great Diwali Discount!
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