Ambuja Cements Ltd., Torrent Pharmaceuticals Ltd., Apollo Hospitals Enterprise Ltd., and DLF Ltd. were among the top companies on brokerages' radar on Tuesday.
Apollo's proposed demerger and listing of the pharmacy and digital health segments will unlock value and could re-rate the hospital business, according to analysts.
CLSA said DLF has followed prudent capital management with lowered debt and avoided equity dilution.
BofA has hiked the target price on Torrent Pharma on better prospects for the company after the JB Chemicals and Pharmaceuticals Ltd deal.
NDTV Profit tracks what analysts are saying about various stocks and sectors. Here are the analyst calls to keep an eye out for on Tuesday.
Brokerages On Apollo Hospitals
Morgan Stanley
Maintain 'overweight' with a target price of Rs 7,242.
Value unlocking could re-rate the hospital business.
Apollo Hospital trades at a discount to its key peer because of 24/7 was a drag on returns.
NewCo will be India's largest omni-channel pharmacy distribution and digital health company.
NewCo has aggressive revenue and Ebitda targets.
If it meets them, that in turn would generate shareholder value.
Citi
Maintain 'Buy' with a target price of Rs 8,260.
Apollo proposes demerger and listing of the Pharmacy and Digital Heath Businesses.
Development is positive for Apollo shares.
Apollo's hospital business is trading at a 25-30% discount to some of the peers, mainly because of the losses in 24/7 and a complicated business structure.
With a separate listing and a lean business structure, expect the discount to narrow down.
CLSA On DLF
Maintain 'High Conviction Outperform' rating with a target price of Rs 1,025.
Restrained aggression.
High governance is shown in supply management, pricing, and capital allocation.
Strong governance – calibrated strategy on pricing and supply.
Prudent capital management – lowered debt and avoided equity dilution.
Focus on cash flows and not just presales.
Raise FY26-28 pre-sales estimates by 20-30%.
Investec On Ambuja Cement
Maintain 'Buy' with a target price of Rs 836.
Ambuja Cement analyst day, management restated its goals on capacity targets.
Emphasized cost efficiencies with target Ebitda per tonne of Rs 1,500 by fiscal 2028.
CFO's message focused on capital allocation, cash generation and conversion and customer-centric objectives.
Management highlighted a 19% of the targeted cost savings were secured and 12% yet to be secured.
Laid out broader building blocks for the same.
Jefferies On Polycab India
Maintain 'Buy' with a target price of Rs 7,150.
Management expects incremental cables and wires industry demand to stay ahead of supply over the next five years.
Key end-user segments driving Cables demand are power, mobility, private capex and exploration.
Polycab targets to grow exports from 6% of sales in FY25 to 10% by FY30.
BofA On Torrent Pharma
Maintain 'Neutral' but target price hiked to Rs 3,500 from Rs 3,300.
Long-awaited capital allocation announced.
Valuation to increase focus on synergies.
Capitalizing on its M&A streak but not as easy.
Synergies and intangibles are key to dilution math.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
