Stock Picks Today: ICICI Lombard, Info Edge, Tata Steel And More On Brokerages’ Radar

A host of global and domestic brokerages have released fresh views on Apollo Hospitals, Sun Pharma, Dr Reddy’s Laboratories, Info Edge, Bharti Airtel, Indus Towers, IDFC First Bank and Tata Steel ahead of Tuesday’s session.

They have also shared their outlook on pharmaceuticals, telecom, internet platforms, banking, metals and consumer sectors, alongside broader commentary on India’s growth outlook, GDP trajectory and the evolving earnings cycle.

• Morgan Stanley flags mixed regulatory risk profiles across Cipla (via Pharmathen), Dr Reddy’s and Sun Pharma.

• Cipla’s lanreotide is seen as the most at-risk product.

• Sun Pharma faces compliance risks at its generic injectable facility.

• However, Sun Pharma’s focus on specialty products limits the earnings risk.

• Pharmathen, Cipla’s CMO partner for lanreotide, received nine Form 483 observations.

• Cipla’s supply is not expected to be disrupted immediately, but remains a key risk to monitor.

• Dr Reddy’s faces a moderate regulatory overhang linked to OOS handling and validation gaps at a non-sterile site.

• The recent CRL for Dr Reddy’s Denosumab underscores continued FDA caution.

• This could delay key biosimilar approvals by 3–6 months.

• Citi maintains a Sell rating with a target price of Rs 1,300.

• Q3 business update showed steady billings growth.

• Non-recruitment verticals remain more competitive than recruitment.

• Growth and profitability in non-recruitment businesses are improving gradually.

• GenAI-related disruption poses a medium-term headwind to the core business.

• The brokerage remains cautious amid a weak IT hiring outlook.

• Entero Health – Upgrade to Buy from Hold; TP raised to Rs 1,320 from Rs 1,250.

• Mankind Pharma – Maintain Buy; TP cut to Rs 2,900 from Rs 3,000.

• Ajanta Pharma – Maintain Buy; TP raised to Rs 3,530 from Rs 3,120.

• Sun Pharma – Maintain Buy; TP raised to Rs 2,100 from Rs 2,000.

• Zydus Life – Maintain Buy; TP raised to Rs 1,130 from Rs 1,120.

• H1 CY26 is expected to be weak for companies with high gRevlimid exposure.

• Domestic business growth is expected to remain steady.

• The sector is expected to deliver double-digit revenue growth, with stronger momentum in H2 CY26.

• Torrent, Mankind, Ajanta and Alkem are expected to see stable domestic growth.

• A Section 232 ruling in the US in Q1 CY26 is a key event to monitor for pharma tariffs.

• Top picks are Mankind Pharma, Ajanta Pharma, Sun Pharma and Zydus Life.

• Citi maintains a Sell rating with a target price of Rs 1,710.

• The brokerage flags risk-adjusted growth amid elevated competitive pressure.

• A motor third-party rate hike is expected in Q4 FY26 or FY27.

• Citi remains confident on reinsurance pricing.

• The first advance estimate pegs FY26 real GDP growth at 7.4% YoY.

• This is slightly below Morgan Stanley and consensus estimates, but above RBI estimates.

• H2 FY26 real GDP growth is expected at 6.9%.

• Nominal GDP growth is expected to soften to 8% YoY in FY26 due to a weaker deflator.

• H2 data suggests consumption growth may slow versus H1.

• Capex growth is expected to pick up pace in H2.

• Morgan Stanley expects growth to exceed NSO estimates.

• High-frequency indicators since September 2025 remain buoyant, supported by policy impetus.

• Advance estimates confirm GDP growth moderated in H2 due to softer consumption.

• FY26 nominal GDP growth slows to around 8%.

• This is seen as neutral from a budget perspective.

• Nomura remains optimistic on India’s growth outlook for FY27.

• Lagged policy easing, low inflation and stable global growth are supportive.

• Potential easing in US trade tensions and ongoing structural reforms could drive 7.1% GDP growth in FY27.

• HSBC maintains a Buy rating with a target price of Rs 215.

• Tata Steel has underperformed European peers despite CBAM implementation.

• European steel stocks have rallied sharply over the past six months.

• CBAM implementation is expected to lift European steel prices.

• HSBC sees upside risk to Tata Steel Netherlands estimates.

• The brokerage finds Tata Steel’s underperformance surprising given its 7 MT European footprint.

• Eternal – Maintain Overweight; TP cut to Rs 417 from Rs 427.

• Swiggy – Maintain Equal-weight; TP cut to Rs 414 from Rs 455.

• Delhivery – Maintain Equal-weight; TP cut to Rs 445 from Rs 450.

• Urban Company – Maintain Equal-weight with TP of Rs 119.

• Earnings downgrade cycle is expected to continue.

• Further consensus estimate cuts are likely due to slower growth and higher competition.

• Valuations appear reasonable for Eternal despite limited near-term catalysts.

• Strong execution is expected to offset competitive pressures over time.

• HDFC Bank – Maintain Buy; TP Rs 1,175.

• ICICI Bank – Maintain Buy; TP Rs 1,750.

• Growth outlook is improving, though risks of further rate cuts persist.

• Earnings are expected to remain healthy for both banks.

• Key drivers include stronger growth and broadly stable NIMs.

• Citi maintains a Buy rating with a target price of Rs 3,560.

• The company has launched a new integrated dealer offering called “SUPER SERIES”.

• The product enables access across CarTrade’s user platforms.

• Details on monetisation and dealer value proposition are awaited.

• The move could unlock synergies post the OLX India acquisition.

• A single interface is expected to improve dealer experience.

• Bharti Airtel – Maintain Buy; TP raised to Rs 2,760 from Rs 2,635.

• Indus Towers – Maintain Buy; TP raised to Rs 510 from Rs 425.

• 2026 is seen as a year of growth and re-rating for the sector.

• Jio’s IPO could boost tariff outlook and sector valuations.

• Potential AGR relief would further support Indus Towers’ growth and re-rating.

• Tariff hikes are expected around June 2026.

• Steady capex and higher tariffs should lift FCF and ROCE.

• Bharti Airtel remains Jefferies’ top pick.

• Jubilant Food – Maintain Underperform; TP cut to Rs 460 from Rs 495.

• Devyani – Maintain Outperform; TP cut to Rs 160 from Rs 200.

• Westlife Food – Maintain Outperform; TP cut to Rs 600 from Rs 750.

• Sapphire Foods – Maintain Outperform; TP cut to Rs 270 from Rs 335.

• Demand recovery is expected to be back-ended.

• Near-term demand remains weak across the sector.

• Delivery continues to outperform dine-in.

• EPS estimates have been cut by 7–23%.

• A demand recovery in H2 CY26 remains key.

• Preference order: Devyani, Sapphire > Westlife > Jubilant.

• Citi expects sequential improvement in consumer staples growth in Q3.

• Growth is supported by lower pricing across categories.

• Increased grammage in low-unit packs is aiding volumes.

• Partial recovery is expected after inventory destocking in Sep–Oct.

• Profitability trends are expected to reverse.

• EBITDA margins are expected to remain flat YoY.

• Commodity cost pressures are easing.

• Citi remains selective in stock choices.

• Top picks are Britannia, Godrej Consumer and Varun Beverages.

• Citi maintains a Sell rating with a target price of Rs 990.

• Novo Nordisk’s dual-brand strategy aims to protect Semaglutide market share.

• Lower-priced offerings from Novo could slow generic uptake.

• Citi remains cautious on the generic Semaglutide opportunity for Dr Reddy’s.