Brokerage firms issued multiple stock-specific and sector notes on February 26 (IST), covering financials, automobiles, power, solar and pharma. Several companies including SBI, Mahindra & Mahindra, Waaree Energies, Poonawalla Fincorp, Ola Electric and IDFC First Bank saw rating actions or target price revisions.
Here is a detailed round-up of the latest brokerage calls and sector views.
UBS Initiates Coverage on Poonawalla Fincorp
UBS initiated coverage on Poonawalla Fincorp with a Buy rating and a target price of Rs 640 per share. The initiation brings the NBFC into focus amid broader interest in retail lending and credit growth trends.
HSBC Reiterates View on Jubilant FoodWorks
HSBC maintained its Buy rating on Jubilant FoodWorks and retained the target price at Rs 700 per share. The brokerage continues to track performance trends in the quick-service restaurant (QSR) segment.
CLSA Maintains Outperform on SBI
CLSA maintained its Outperform rating on State Bank of India (SBI) with a target price of Rs 1,275 per share.
Schaeffler India Sees Multiple Target Prices
In the auto components segment, Incred maintained an Add rating on Schaeffler India with a target price of Rs 5,028 per share. Nuvama also reiterated its Buy rating on the company, assigning a target price of Rs 4,900 per share.
MOSL Initiates Coverage on CreditAccess Grameen
Motilal Oswal Financial Services (MOSL) initiated coverage on CreditAccess Grameen with a Buy rating and set a target price of Rs 1,600 per share.
BofA on Indian Auto Sector: GST Support in Focus
Bank of America (BofA), in its sector report on Indian automobiles, stated that GST-related support is helping sustain demand momentum across segments.
Jefferies on Power Sector; NTPC and JSW Energy in Focus
Jefferies noted that power distribution companies (discoms) have reported profits after at least a decade of losses.
Macquarie Flags RBI Watchfulness on Gold Loans
Macquarie, in its financials note, said the Reserve Bank of India is expected to remain watchful regarding gold loans.
Solar Sector: US Imposes 126% Countervailing Duty
Nomura said the US has levied a 126% countervailing duty (CVD) on solar exports from India to offset government subsidy benefits. According to the brokerage, companies with US manufacturing exposure and those sourcing non-Chinese solar cells may be relatively less impacted.
Nuvama also highlighted that the US Department of Commerce announced a preliminary CVD of 126% on solar imports from India. It further set initial CVD rates ranging from 86% to 143% on imports from Indonesia and 81% on shipments from Laos.
Tractor Segment: Cycle Concerns Emerge
BofA, in its note on tractors, flagged emerging investor concerns about a potential cycle peak in FY27, particularly amid early warnings of an El Nino.
Brokerages on Mahindra & Mahindra (M&M)
Nuvama maintained its Buy rating on Mahindra & Mahindra (M&M) with a target price of Rs 4,400 per share. BofA also maintained its Buy rating but reduced the target price to Rs 4,150 per share.
Escorts Kubota Rating Update
BofA maintained its Buy rating on Escorts Kubota and cut the target price to Rs 3,600 per share, reflecting updated assumptions in the farm equipment space.
Multiple Calls on Waaree Energies and Premier Energies
Nomura maintained a Buy rating on Waaree Energies with a target price of Rs 2,709 per share and retained a Neutral rating on Premier Energies with a target price of Rs 729 per share.
Nuvama reiterated its Buy call on Waaree Energies with a target price of Rs 3,867 per share.
MOSL maintained its Buy rating on Waaree Energies with a target price of Rs 3,514 per share and also maintained a Buy rating on Premier Energies with a target price of Rs 1,000 per share.
MOSL on Laurus Labs
MOSL maintained its Buy rating on Laurus Labs with a target price of Rs 1,280 per share, keeping the pharma stock on the radar.
Downgrades: Ola Electric and IDFC First Bank
Goldman Sachs downgraded Ola Electric to Neutral and cut the target price to Rs 26 per share.
BofA downgraded IDFC First Bank to Neutral and reduced its target price to Rs 75 per share.
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