Wednesday's biggest brokerage calls: HDFC AMC, media stocks and more

SUMMARY

Indian shares are likely to open with positive bias following gains in Wall Street as the Federal Reserve took further steps to boost liquidity and stem damage from the coronavirus outbreak. Among brokerages, Morgan Stanley has an 'equal-weight' rating on the stock, while Citi prefers Sun TV among media stocks. Here are the top brokerage calls for today:

By CNBC-TV18Mar 18, 2020 8:05:05 AM IST (Published)

Morgan Stanley on HDFC AMC: The brokerage has an 'equal-weight' rating on the stock with target cut to Rs 2,235 per share from Rs 3,300 earlier. It has reduced the target to factor in sharp market drawdown and an uncertain outlook.

Citi on Media: As per Citi, media stocks have corrected a lot more in the recent market selloff. It prefers Sun TV even though delayed IPL can impact FY21 consolidated growth.

Morgan Stanley on Sobha: The brokerage is 'overweight' on the stock with a target at Rs 613 per share. It believes the share price will rise in absolute terms over the next 60 days.

Morgan Stanley on Life Insurance: The brokerage prefers large banks withing Indian financials. It downgraded SBI Life to 'equal-weight' from 'overweight' and cut target to Rs 820 per share from Rs 1,100 earlier. The brokerage also cut the target price for HDFC Life and ICICI Prudential.

Credit Suisse on Cement: Cement stocks have the advantage of resilient domestic demand, said the brokerage. It has an 'underperform' rating on Shree Cements based on high valuations, however, believes valuation for Ambuja Cements and UltraTech Cements are now far below average.

CLSA on India: The brokerage expects full-year deficit to be below 1 percent of GDP in FY20 and FY21. Smaller current deficit gives RBI more flexibility on monetary policy, it added.