Hot stocks: Brokerage view on Bajaj Auto, Emcure Pharma, LTIMindtree and Bajaj Finance

We have collated a list of recommendations from top brokerage firms from ETNow and other sources:

CLSA has maintained an underperform rating on Bajaj Auto with a target price of Rs 7,000.

Bajaj and Triumph have launched two motorcycles positioned as entry-level options, and CLSA believes that the Speed T4 effectively balances price and performance. While the launch looks promising, caution is advised due to increasing competitive intensity in the premium motorcycle segment, growth moderation in the over-250cc motorcycle segment, and continued pressure in key export markets.

Citi has maintained a sell rating on LTIMindtree with a target price of Rs 5,635.Citi’s team met with the company’s CFO to discuss senior-level attrition trends, demand outlook, total contract value (TCV) trends, pricing, and more. The CFO reiterated that Q2 revenue growth trends are likely to be similar to those in Q1. Margins are expected to face continued pressure due to moderate growth and cost takeout deals. However, there is limited visibility on a pickup in discretionary spending, as customers are selectively focusing on regulatory work.

Kotak has initiated coverage on Emcure Pharma with an ‘add’ rating and a target price of Rs 1,655. According to Kotak, Emcure is one of the few Indian pharma majors with no direct US generics exposure, which contributes to greater earnings stability. The company has built a complex portfolio across India, Canada, Europe, and emerging markets.

Improved productivity is expected following a 20%+ increase in its field force and higher capacity utilization. Rising per capita medicine consumption, higher utilization, and lower interest costs are likely to drive a 30% EPS CAGR.

Morgan Stanley has maintained an overweight call on the stock with a target price of Rs 9,000

Focus on standalone financials will gradually rise and the company and investors can be expected to largely focus on consolidated metrics in the immediate term. Morgan Stanley has trimmed the FY25-27 consolidated EPS estimates to 1.2-1.6% and also finds valuation attractive relative to ROE and EPS growth. The global brokerage said that it prefers to wait to see the stock performance of both entities, to be also able to judge the level of holding company discount.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)