Broker Radar for March 01

Check out the stock commentaries and recommendations from brokerage houses.

Mar 01, 2019 02:03 IST India Infoline News Service

IT Stocks Up
CLSA maintained ‘Buy’ rating on Bharti Airtel with a TP of Rs410.
  • Fund raising will lower loss per share by 44% in 2019-20 and boost EPS estimates for 2020-21 by 42%.
  • Fund raise to offer sufficient headroom to invest in networks/future spectrum auctions.
  • Airtel can deleverage balance sheet further by Rs25,000cr from stake sale in Africa and Infratel.
Macquarie maintained ‘Outperform’ on ONGC with a TP of Rs210.
  • Specific risks related to ONGC is already priced in.
  • See a margin of safety and limited downside. Catalyst: elections, strong dividend, consensus EPS upgrades, gas price reforms.
UBS maintained ‘Buy’ on Bharti Airtel with a TP of Rs415.
  • Capital raise provides adequate financial muscle amid intense competitive environment.
  • Expect the rights issue to be completed by the first quarter of the next financial year. Stock is attractively valued.
JPM upgraded to ‘Overweight’ from ‘Neutral’ on SAIL, and maintained TP of Rs78.
  • Upgrade to Overweight on favorable risk-reward ratio.
  • Benefits from higher steel prices driven by higher iron ore prices.
  • Market not pricing in higher iron ore and volumes for SAIL.
UBS maintained ‘Buy’ on Chennai Petroleum, and cut TP to Rs400 from Rs470.
  • Cut EPS estimates to factor in lower spreads on key refining products.
  • Scaling up residual project could boost GRM.
  • IMO 2020 implementation will benefit.
Source: Media Reports

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