Stock Picks Today: Brokerages’ Top Recommendations for Indian Investors
Indian stock markets have been witnessing significant volatility in recent times, with various factors influencing the sentiment of investors. To help investors make informed decisions, top brokerages have shared their insights and recommendations for several key stocks. In this article, we will delve into the latest stock picks from brokerages, including target prices and analysis for Sun Pharma, KPIT Tech, BHEL, Nazara Tech, CMS Info, and Godrej Properties.
Sun Pharma: A Preferred Sector Pick
Citi has maintained its buy rating on Sun Pharma, with a target price of Rs 2,180. The brokerage firm believes that the MFN overhang has been removed with the Pfizer deal, and existing drug prices in the medicare and commercial segments haven’t been touched. This development is expected to positively impact Sun Pharma’s Ilumya, making it a preferred sector pick.
KPIT Tech: Neutral Outlook
Goldman Sachs has maintained a neutral outlook on KPIT Tech, cutting its target price to Rs 1,100 from Rs 1,230. The brokerage firm expects Q2 revenue to decline 2% QoQ, with cross-currency tailwinds and INR depreciation vs the USD leading to a decline of 1% in USD revenue. Additionally, the Caresoft acquisition is expected to contribute $4 million in additional revenue.
BHEL: Order Intake Momentum Remains Positive
UBS has maintained its buy rating on BHEL, with a target price of Rs 340. The brokerage firm believes that the company’s order intake momentum remains positive, with the recent Rs 15,000 crore order for supercritical thermal power plants being a significant development. This order is expected to increase BHEL’s YTD order inflow to Rs 31,000 crore, which is 35% of the brokerage firm’s FY26 estimates.
Nazara Tech: Real Money Gaming Ban to Impact Revenue
CLSA has maintained its underperform rating on Nazara Tech, with a target price of Rs 166. The brokerage firm believes that the ban on real money gaming will negatively impact the company’s revenue, particularly from its PokerBaazi and e-sports de-subsidiarisation businesses. However, the government is expected to continue promoting esports and other online games, which could provide some relief to the company.
CMS Info: Moderate Growth Expected
Jefferies has maintained its buy rating on CMS Info, cutting its target price to Rs 445 from Rs 580. The brokerage firm expects the company to witness moderate growth in its core revenues, with a CAGR of 12% over FY25-30. Additionally, the company’s margins are expected to remain stable, with an uptick in ATM network expansion being a key factor.
Godrej Properties: Strong Growth Expected
CLSA has maintained its outperform rating on Godrej Properties, hiking its target price to Rs 2,850 from Rs 2,770. The brokerage firm expects the company to witness strong growth, with presales of Rs 8,000-8,500 crore expected in Q2. This is likely to beat the company’s guidance, with strong growth in cash flows and margins also expected.
Conclusion
In conclusion, the latest stock picks from top brokerages provide valuable insights for Indian investors. While some stocks, such as Sun Pharma and BHEL, are expected to witness positive developments, others, such as Nazara Tech, may face challenges due to regulatory changes. It is essential for investors to conduct their own research and analysis before making any investment decisions.
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