Benchmark indices wiped off more 3 percent on April 21 on the back of weak global cue due to a flash crash in US crude futures. Here are 5 stocks global brokerages are betting on for a 15-53% upside:
2/6
L&T | Brokerage: HSBC | Rating: Buy | Target: Rs 1,000 | CMP: Rs 870 | Upside: 15 percent. The company appears to be coping well with COVID-19-led disruptions, though the near-term working capital intensity may worsen due to slower collection.
HDFC Bank | Brokerage: Axis Capital | Rating: Buy | Target: Rs 1,250 | CMP: Rs 920 | Upside: 26 percent. The bank is best placed to navigate COVID-19-led disruptions. Meanwhile, it has tightened its credit filters resulting in higher rejections.
HCL Technologies | Brokerage: Nomura | Rating: Buy | Target: Cut to Rs 570 from Rs 700 | CMP: Rs 455 | Upside: 25 percent. The company's IMS & products business offer defensibility in an uncertain environment. The broking house estimate dollar revenue growth of -1% & +8% and margin of 18.1% & 18.8% in FY21 & FY22.
Infosys | Brokerage: CLSA | Rating: Buy | Target: Cut to Rs 800 from Rs 970 | CMP: Rs 633 | Upside: 53 percent. The revenue pressure is expected in Q1 due to client discretionary spending cuts. However, the strong deal wins and pipeline provide optimism for H2 growth & margin recovery.
