Brokerages' Radar
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Brokerages issued fresh views on HDFC Bank, Pidilite, Mahindra & Mahindra (M&M), UPL, Prestige alongside commentary on the auto sector, banks and financials.
Jefferies on HDFC Bank
- Maintain Buy with TP of Rs 1050.
- Chairman & CFO Appointments; CEO Renewal May Follow.
- HDFC Bank stays among top picks.
Macquarie on Pidilite
- Maintain Underperform with TP of Rs 1250.
- Constructive near-term outlook.
- Limited demand impact from price increases.
- Limited impact on demand despite price hikes.
- Reiterating 20-24% margin range.
- Focus on volume growth improvement.
- Price cuts to be considered if input costs moderate sharply.
HSBC on Mahindra & Mahindra (M&M)
- Maintain Buy with TP of Rs 4200.
- EV penetration in 4Ws has surged in recent weeks, driven by concerns over the fuel price outlook.
- Think the medium-term outlook (FY30-32) for EV penetration remains, at best, in the mid-teens.
- OEM margins are likely to be healthy in FY27/28, thanks to PLI and then fall in FY29.
MS on Auto Sector
- 2026 Delhi EV Policy, prescribes sizable incentives for E2Ws, 3W SCVs, and buses.
- Also prescribes ICE phase-out mandates.
- Delhi remains a small portion of ICE 2W/3W sales, but such policies becoming a template for other cities. remains a key risk to monitor.
- Expect strong pushback to this ban from dealers and OEMs.
- Scrappage of old fleet across segments is the best way to handle transport-related emissions.
- Less EPS Impact but could weigh on multiples.
- Eicher in particular needs a successful EV now.
HSBC on UPL
- Maintain Buy with TP of Rs 880.
- Discussions with several industry stakeholders over a two-day trip to Punjab reflect optimism in the region.
- Better farmer cash position points to 5-10% growth in Q1FY27 for ag-inputs consumption, even as sowing is delayed.
MS on Prestige
- Maintain Overweight with TP of Rs 1920.
- Big Jump in IP income in FY29.
- Strong Sell Through Continues.
- According to PROPEQUITY, in the first two months of Q1, Prestige pre-sales was Rs 6300 cr, tracking ahead of the run rate.
- Demand remains intact from any perceived slowdown from AI-related job losses in Bangalore or Hyderabad.
- Expect rents to go up further.
- Hospitality listing could wait for new Aerocity hotel with 778 keys to be completed.
- FY29 rental potential of Rs 4000 cr at 7.5% cap rate is equal to 2/3rds of the Enterprise Value.
- This suggests attractive residential/hospitality valuation.
Kotak on Banks
- HDFC Bank has strengthened its leadership.
- Do not view these management changes as negative for the respective banks.
- They appear unrelated to underlying business fundamentals.
- Constructive view on the banking sector remains intact.
- This is supported by attractive valuations and a favorable risk-reward outlook.
- Prefer frontline banks - HDFC Bank and ICICI Bank - among private lenders and SBI among public sector lenders.
Jefferies on Financials
- How to Ride Potential Success of FCNR-B.
- NBFCs & Small Pvt Bks To Gain More.
- With some rate hikes, expect that FCNR-B & ECB schemes may gather $50-70bn.
- Better way to play this will be through NBFCs &smaller private banks, rather than larger private banks & PSUs.
- NBFCs and small pvt banks may benefit more from easier liquidity & rates.
- 2013 playbook may not be relevant when RBI was fixing CPI, so it kept a tight leash on rates & liquidity.
- Bajaj Finance, Chola Finance, AU SFB, IndusInd Bank, Bandhan, SBI Cards can benefit.
- Among non-lending financials, life insurers can benefit with steeper yield curve.
Jefferies on Maruti
- Upgrade to Buy from Hold; Hike TP to Rs 16500 from Rs 13800.
- Easing Macro Concerns.
- India's PV demand has remained strong in H1CY26.
- Easing of Middle East tensions and correction in crude prices have alleviated demand-side concerns.
- Softer metal prices are reducing margin risks too.
- Upgrade FY27-29E EPS by 2-4% and expect 16% EPS CAGR over FY26-2.
- PE at 24x FY27 is reasonable.
Disclaimer: The views and opinions expressed by the investment advisers on NDTV Profit are of their own and not of NDTV Profit. NDTV Profit advises users to consult with their own financial or investment adviser before taking any investment decision.
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