Stock brokerages such as HDFC Securities Institutional Equities, Prabhudas Lilladher, Motilal Oswal, and Yes Securities have come out with research reports on select stocks namely Havells India, Crompton Greaves, CEAT, Greenply Industries. Here's what brokerages said about these counters
HDFC Securities Institutional Equities (HSIE) has an ‘Add’ rating on Havells India shares with a target price of Rs 1,450. The brokerage is confident in healthy growth for Havells’ core categories along with improving margin print
Analysts at HSIE believe that Havells’ margin has hit a trough and will continue to improve from here on, given softening commodity inflation; an increase in the premium mix (fans: 30% vs 17% five years back), and lowering losses in Lloyd
Prabhudas Lilladher has a ‘buy’ rating on Crompton Greaves stock with a target price of Rs 338 per share. It estimates Sales, EBITDA, and PAT CAGR of 12.0%, 14.0%, and 21.6% respectively over FY23-25E
According to analysts at Prabhudas Lilladher, Crompton has taken corrective measures like restructuring the business in five verticals; hiring/appointing second-level management team; addressing the frontend sales team attrition, and increasing focus on A&P and R&D for driving growth. “Although the strategy might impact FY24 financials, we expect better growth from FY25 onwards,” they said
Motilal Oswal has a ‘buy’ rating on CEAT shares with a target price of Rs 2,375. Going forward, the company will be in a better position due to its improved market share in PVs and lower incremental capex, which will, in turn, improve returns, according to the brokerage
According to analysts at Motilal Oswal, a stable volume growth outlook for domestic OEMs (especially PVs and CVs) and an uptick in replacement demand should enable a faster absorption of new capacities and drive benefits of operating leverage. This, coupled with stable RM prices, would lead to a margin recovery in FY24E. Moreover, the focus on key strategic areas like PV/OHT, along with prudent capex plans, should be a long-term growth catalyst for the CEAT
Yes Securities has a ‘Buy’ call on Greenply Industries stock with a target price of Rs 250 per share. High-growth opportunity, margin expansion, and deleveraging play make Greenply a lucrative proposition, the brokerage believes
Analysts at Yes Securities have Greenply Industries stock as their top pick in the Building Materials sector given the steady growth in the plywood segment; performance boost from the commencement of MDF unit; likely margin expansion; improvement in balance sheet; and lucrative valuations
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