New Delhi: CLSA has maintained a ‘sell’ rating on with a target price of Rs 212 as it finds the valuation expensive in a one-legged race of high coal prices. “Indian coal remains the key driver and EPC business took a hard knock.”
Tata Power posted a nearly 90 per cent jump in its consolidated net profit to Rs 883.54 crore for the April-June quarter of the current fiscal driven by higher income. The power generating firm had posted a net profit of Rs 465.69 crore in the same quarter of 2021-22.
Credit Suisse, meanwhile, has initiated its coverage on
with an ‘underperform’ rating and a target price of Rs 1,100, signalling about an 18 per cent downside on the counter. The brokerage believes that too much optimism is priced in the stock.
Nykaa has built a dominant position in the online beauty segment. “Its core strengths along with omnichannel push will drive growth,” it said. “EBITDA margin is expected to move in mid-teens and it will dominate online BPC with rising margin.”
On the contrary, Credit Suisse has maintained its ‘outperform’ rating on
as it believes that the company is on a clear road to profitability growth. It has a target price of Rs 90 on the counter, which is more than double its current price.
Existing core customers would drive the food business, it said. “The industry has turned into a duopoly and core user base would drive margins. Quick commerce is an adjacency, but industry winners are still not clear.”
Shares of Zomato have been under severe pressure lately, hitting new record low every other day. The scrip has lost about 25 per cent of its value in the last two sessions.
Despite the mediocre results in the June quarter, the same brokerage has maintained its ‘outperform’ rating on Larsen & Toubro (L&T) with a target price of Rs 2,000.
Order inflows surprised positively given fewer announcements, it said. “EPC business has rerated upwards as IT business has corrected,” it added. “Ordering momentum remains strong despite lower margins.”
Larsen & Toubro said its consolidated net profit increased 44.9 per cent to Rs 1,702.07 crore in June 2022 quarter due to higher revenue from operations. The engineering and construction conglomerate had posted a consolidated net profit of Rs 1,174.44 crore in the year-ago period.
Citi has downgraded
to sell with a target price of Rs 210 as the demand outlook remains muted for the company. “Tepid gas consumption trends continue, particularly in India,” it added. “Q2 is a seasonally strong quarter for Petronet LNG and could provide some support.”
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)