These are Friday's biggest brokerage calls: PVR, PNB Housing, SBI Life and more

SUMMARY

Domestic benchmark equity indices BSE Sensex and NSE Nifty50 are set to track subdued Asian markets as investor worries over the deadly outbreak of Coronavirus in China continue to weigh on sentiment. Here are the top brokerage calls for Friday:

By CNBC-TV18Jan 24, 2020 9:08:00 AM IST (Updated)

Morgan Stanley Budget Preview: Govt’s fiscal deficit will narrow to 3.5 percent in FY21, the brokerage said. Morgan Stanley says focus should be on raising revenues at a fast pace through strategic divestment.

CLSA Budget Preview: The brokerage says tax cut may be necessary to revive growth and any income tax cut would be seen as a boost for discretionary plays. FY21 fiscal deficit to be contained at 3.4 percent, CLSA said.

CLSA on DB Corp: The brokerage has cut FY20-22 estimates for DB Corp by 3-14 percent and forecast 10 percent earnings growth. CLSA maintains a 'buy' rating with a target price of Rs 185 per share.

HSBC on Aviation: The brokerage expects strong earnings for aviation companies in Q3 and sees strong headwinds in Q4 and FY21. HSBC maintains a 'reduce' stance on IndiGo at a target price of Rs 1,250 per share and 'hold' on SpiceJet at a target price of Rs 115 per share.

Jefferies on PNB Housing: The brokerage sees challenges to PNB Housing’s loan growth, has cut FY20-21 estimates by 6-23 percent. Jefferies maintains a 'hold' stance on the stock with a target price of Rs 529 per share.

Macquarie on Cholamandalam Invest: The brokerage maintains an 'outperform' rating with a target price of Rs 300 per share. Macquarie says disbursements in both vehicle finance and home equity have been modest.

Macquarie on SBI Life: The brokerage says SBI Life saw limited margin expansion despite higher share of protection in APE. Macquarie has maintained an 'underperform' stance on the stock with a target price of Rs 645.

Morgan Stanley on PNB Housing: The brokerage has maintained 'equal-weight' with a price target of Rs 500 per share. Morgan Stanley says near-term trajectory for PNB Housing looks weak.

Morgan Stanley on PVR: The global brokerage has maintained 'buy' rating on PVR with a target price of Rs 2,350 after the company posted its third-quarter results on Thursday. MS says PVR has continued with its aggressive screen additions.