Broker Radar for February 13

Check out the stock commentaries and recommendations from brokerage houses.

Feb 13, 2019 02:02 IST India Infoline News Service

CLSA maintained ‘Buy’ on Sun Pharma with a TP of Rs560
  • Good December quarter even after the adjustments.
  • Specialty pipeline execution will be the key focus area for the next financial year.
  • Current valuations attractive and stronger specialty portfolio ramp-up could drive rerating.
Macquarie maintained ‘Neutral’ on Sun Pharma with a TP of Rs450
  • Forex adjusted EBITDA marginally ahead due to lower R&D.
  • Continue to await signs of specialty ramp-up and increased generic traction from Halol.
  • Investor concerns on governance unlikely to completely dissipate until clarity on SEBI’s investigation.
Citi maintained ‘Buy’ on Sun Pharma with a TP of Rs540.
  • Low R&D and forex gain drive quarterly beat.
  • Management commentary was optimistic on specialty, steady on generics and hinted at better disclosures going forward.
 CLSA maintained ‘Buy’ on Coal India; cut TP to Rs275 from Rs310. 
  • EBITDA and net profit improved on higher realisation.
  • Earnings growth to taper off sharply from the March quarter unless company takes a price hike.
  • Muted earnings outlook, but reasonable valuations and high dividend yield.
Macquarie maintained ‘Outperform’ on Hindalco; cut TP to Rs270 from Rs335. 
  • December quarter’s profit ahead led by higher realisation reflecting grade consistency and market tightness.
  • Divestment led to stock underperformance; Expect re-rating ahead.
  • Attractive risk reward; cut price target on lower volumes and valuation multiple.
CLSA maintained ‘Sell’ on Hindalco; cut TP to Rs195 from Rs210.
  • Decent December quarter, but muted earnings profile over next two years.
  • Cut FY20-21 EPS estimates by 1-9% on lower aluminium prices and slightly lower Novelis margins.
  • Valuation not cheap given the contraction in valuations for global metal companies.
(As per media reports)

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