Brokerage radar: Brokerage firms have released their reports about shares of several companies before the start of trading of 10 February. According to brokerage, investors can get up to 44 percent returns in these shares. These shares include legendary stocks such as Mahindra & Mahindra, Ola Electric, LIC, Cummins, Thermax and Fortis Health. Let’s know what is the opinion about these shares of brokerage and what target price they have fixed for them.
1. Mahindra & Mahindra (M&M)
Foreign brokerage firm Nomura has rated the stock ‘BUY’ and has a target of Rs 3,681 per share. This is estimated at about 15 per cent of the stock from Friday’s closed price. According to brokerage reports, the company’s estimate of tractor sales has been increased and the launch of the battery electric vehicle (BEV) may be the next major trigger in the coming days. The Ebitda of Q3 remained in accordance with the estimate and the management hopes that income tax deduction will promote demand.
At the same time, CLSA has rated M&M shares as ‘outperform’ and its target price has fixed Rs 3,510. According to CLSA, the average selling price (ASP) of the auto and farm segment has declined on a quarterly basis, but the auto Ebit margin has reached an all-time high of 9.7%. The company’s market share is expected to increase in the UV segment due to XUV 3×0, Thar Roxx and new EVs.
Goldman Sachs has also recommended purchases in M&M share and has kept the target price of Rs 3,800. This is estimated to be about 19 percent in the stock from Friday’s closed price. According to his report, the December quarter results were better than estimates, while the EBIT of the auto and farm segment was above 5% BBG Consensus. Management hopes that tractor volume Q4 and FY26 will also be strong. The demand for Thar Roxx, Thar 3-door and XUV 3xo SUVs is increasing, making it plans to increase the monthly production capacity of these models to 4,000 units in the next 3 months.
The Mcquiry has rated the M&P shares and has increased the target to Rs 3,643. In the brokerage report, tractor demand and margin outlook has been described as positive, as well as the management seems to be optimistic about the BeV segment.
2. Life Insurance Corporation of India (LIC)
Goldman Sachs has given a neutral rating to this stock and has a target price of Rs 900. This is estimated at about 10 per cent of the stock from Friday’s closed price. According to the report, LIC’s topline has declined and the main reason for this was a 38% decline in individual insurance business on an annual basis. Also, the operating leverage has been negative, but the company says that the non-PAR products are being focused on the products, which is likely to improve margins during the period.
3. Ola Electric
Goldman Sachs has advised shopping in this stock, but its target price has reduced to Rs 101, which was earlier Rs 118. This is estimated at around 44 percent of the stock from Friday’s closed price. Brokerage said the company’s revenue of the December quarter was better than expected, while the festive discounts were less than expected. The management has increased the focus on improvement in service network coverage and product quality, causing the service turnaround time to decrease from 2.5 days to 1.1 days.
4. Sun TV
The CLSA has rated the hold with Sun TV and has reduced the target to Rs 670. This is estimated to be about 9 percent in the stock from Friday’s closed price. According to brokerage, the December quarter stood lower than the company’s standalone revenue estimates and saw a decline in advertising revenue. Also, the company’s subscription revenue has only increased an annual increase of 2%.
5. Apollo Tyres
The UBS has rated the share of BUY and has kept the target price of Rs 525. This is estimated at the stock of about 22 per cent in the stock from Friday’s closed price. Brokerage said that the company’s performance in Q3 was weak in India, while Europe remained stable. There is no major change in the prices of raw materials during Q4. Management has targeted the US and Saudi Arabia as its major export markets and plans to increase production capacity in India and Europe in FY26.
6. Anant Raj (Anant Raj)
Nomura has rated the stock of BUY and has fixed its target price of Rs 750. This is estimated at the stock of about 21.3 per cent due to Friday’s closed price. According to the report, the company has a strong launch pipeline, which is expected to increase cash flows in the residential segment. In addition, the company’s data centers (DC) and cloud segment goals are expected to successfully meet.
7. Cummins India
HSBC has advised to purchase on Cummins India, but its target price has reduced to Rs 3,500, which was earlier Rs 4,200. This is estimated at the stock of about 20 per cent in the stock from Friday’s closed price. Brokerage said the company’s net profit was better than the estimate in the December quarter. The company has recorded strong revenue growth in several segments. However, a limited scope of margin expansion may reduce the chances of future growth in the future.
8. Thermax
Jefferies has advised to shop for thermax and reduced the target to Rs 4,835. This is estimated at around 42.7 percent of the stock from Friday’s closed price. The report stated that Q3 Ebitda was 29% lower than estimates, as the company suffered losses due to revenue and defense projects. However, 27% EPS CAGR is expected to strengthen during FY24-27.
9. Fortis Healthcare
Nomura has advised purchases in this stock and has kept the target price of Rs 700. This is estimated at about 7 percent of the stock from Friday’s closed price. Brokerage said the company had a total revenue of 2% higher than estimated in December Timbi, while the revenue of the hospital segment was 3% higher than expected. However, the Eibitda was 3% less than the Ebitda estimates due to a one -time cost related to branding.
10. VRL Logistics
HSBC has advised a hold on VRL logistics and has reduced its target price to Rs 600. This is estimated at around 13.5 percent of the stock from Friday’s closed price. Brokerage stated that the increase in prices and cost cuts have improved margins, but how stable this profitability will remain in the long term.
Also read- Multibagger Stock: Strong return of 848% in 5 years, Defense Company gets a new order of Rs 962 crore
Disclaimer: The ideas and investment advice given by experts/brokerage firms on Moneycontrol are their own, not the website and its management. Moneycontrol advises users to consult a certified expert before making any investment decision.