Stock brokerages such as Axis Securities, Geojit Financial Services, Motilal Oswal, and HDFC Securities have come out with research reports on select stocks namely RITES, Amara Raja Batteries, Blue Dart, Bank of Baroda. Here's what brokerages said about these counters
Axis Securities has a ‘Buy’ rating on RITES shares with a target price of Rs 450. “Higher Capex outlay in the Budget 2023-24 for Railways and Highways has provided the company with large opportunities to grow its business verticals,” the brokerage said
With a good order book position, efficient execution prowess, clean balance sheet, high return ratios, and healthy dividend payout, analysts at Axis Securities expect the company to post healthy Revenues, EBITDA and APAT growth of 12%, 11% and 12% CAGR respectively over FY23-25E
Geojit Financial Services has a ‘Buy’ rating on Amara Raja Batteries stock with a target price of Rs 762 per share. The brokerage expects growth in the auto sector, superior product mix, and higher RM pass-through to OEMs to support the margin expansion
Analysts at Geojit Financial believe that moderation in the raw material price and improving volume will drive margin growth. In addition, the auto sector is likely to show a pick-up in H1FY24 owing to a strong rebound in volume and margin expansion. “We expect margins to expand due to respite in raw material prices,” they said
Motilal Oswal has upgraded Blue Dart shares from ‘Neutral’ to ‘Buy’ rating with a target price of Rs 8,040. With lower ATF prices and its annual general price increase effective from January 2023, the brokerage expects Blue Dart’s margins to improve going forward
According to analysts at Motilal Oswal, Growth in Blue Dart's Ground Express is expected to be 2x higher than growth in Air Express. The company has added two aircraft to its fleet to cater to strong demand growth. With an improved outlook and around 30% correction in the stock price from the high seen in October 2022, the brokerage believes that the stock is now attractively valued
HDFC Securities has a ‘Buy’ call on Bank of Baroda stock with a bull case fair value of Rs 234 per share. According to the brokerage, the bank remains well capitalized compared to other peer PSBs and has informed that there will be no fundraise in near term
“We feel investors can buy the (Bank of Baroda) stock of the bank between Rs 193-197 (0.9xFY25E ABV) & add more on dips of Rs 169-173 band (0.8x FY25E ABV) for the base case fair value of Rs 214 (1xFY25E ABV) and for the bull case fair value of Rs 234 (1.1x FY25E ABV) over the next 2-3 quarters,” said HDFC Securities in its report
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