Stock Picks Today: Kotak Mahindra Bank, HUL, Metro Brands, Ambuja Cements On Brokerages' Radar

Kotak Mahindra Bank Ltd., Hindustan Unilever Ltd., Metro Brands Ltd., Aditya Birla Fashion and Retail Ltd., and Aditya Birla Lifestyle Brands Ltd., Ambuja Cements Ltd., are among the companies garnering brokerage commentary today.

Analysts have shared their insights and, in several cases, revised their target prices based on their updated fundamental outlooks for these firms. Here are the key analyst calls to watch out for today:

Macquarie

• Maintain neutral with target price of Rs 2,200

• On a course correction mode

• Management meeting assuring - now a patient waiting game

• Problem areas identified and being worked upon

• Moving from product to the customer

• Believe Kotak's margins going forward could outperform most of its peers

• Both digital and physical will be the mode of expansion

• Core P/BV at 1.6x FY27E is cheap

Morgan Stanley

• Brokerage upgrades to overweight with equal-weight

• Target price at Rs 131

• Anti-consensus self-help story with opportunity for valuation re-rating

• To deliver 14% revenue and 27% EBITDA CAGRs, FY27-28

• Think it is well capitalised to fund its growth plans

• Given its track record, investors have limited confidence on the stock

Morgan Stanley

• Initiates overweight with target price of Rs 175

• Think it is at the cusp of improving fundamentals led by profitability improvement

• See opportunity for valuation re-rating

• View AB Lifestyle as a defensive discretionary play

• Expect it to deliver a 10% revenue CAGR, FY25-28, with gradual improvement in its margins and return profile

• With opportunity for multiple expansion upon consistent execution delivery

Jefferies

• Maintain Buy with target price of Rs 3000

• Unilever CEO Fernando Fernandez, appointed in Mar-25, recently outlined his strategic priorities at an investor conference

• India stood out as a core growth market

• His remark that 'not a penny will be spent outside of the US & India' on acquisitions reinforced this focus

• Confidence in Priya Nair remains strong

• Medium-term growth expected to track India’s GDP

• Expect HUL to align with the parent’s growth agenda, driving better performance ahead

BofA

• Maintain neutral with a target price hike to Rs 2,840 from Rs 2,630

• Message from the parent – transformation at Unilever, with India at the core

• Aspiration for HUL spelt out – actual delivery is now key

• There is a clear emphasis on volume growth now and India seems a must-win market for the group

• Disproportionate investment (including M&A) is directed to India

• Risk-reward on HUL’s stock seems balanced

Goldman Sachs

• Maintain Buy with target price of Rs 1,300

• Walkway store adds likely to accelerate, can lead to significant TAM expansion for Metro Brands

• With new-format Walkway, Metro Brands likely trying to replicate the playbook of organised value apparel retailers

• Believe Metro Brands has both capital and capability to execute

• New-format Walkway can have healthy store economics, and a long growth runway

CLSA

• Maintain Outperform with target price of Rs 665

• Improving demand and profitability outlook

• At CITIC CLSA Investor’s Forum, Ambuja Cements was constructive on both cement demand and profitability outlook

• Large part of the discussions focused on the impact of GST reduction on cement demand and profitability

• Believe realisation is likely to be a positive aspect

• Premiumisation and reduction in indirect tax (link) are likely to have additional impact

• Near-term demand is impacted by monsoons and deferred purchases due to GST reduction

• Over the medium term, Ambuja believes that industry is likely to grow at 7%-8% and it is likely to grow in double digits

• Reiterated medium-term target of 20% market share and profitability of Rs 1,500/T