Thursday’s top brokerage calls: Axis Bank, HUL and more

SUMMARY

Among brokerages, CLSA and Jefferies have raised the target prices on Axis Bank while Citi maintains 'Buy' rating on HUL and has raised revenue forecasts by 1-2%. Here are the top brokerage calls for today.

By CNBC-TV18Jan 28, 2021 8:54:46 AM IST (Published)

JP Morgan on Axis Bank | The brokerage cut FY21 EPS for Axis Bank by 14% but kept FY22/23 largely unchanged after the bank’s Q3 results.

Macquarie on Axis Bank | Biggest positive from Axis Bank’s Q3 earnings review is the strengthening of the balance sheet by making provisions, Macquarie said. IT raised earnings estimates by 8-12% for FY22-23.

Citi on Axis Bank | Low restructuring and high provision buffer should imply lower credit costs for Axis Bank in FY22, Citi said.

Jefferies on Axis Bank | The bank’s Q3 profit was below estimates due to higher credit cost; growth in core operating profit & CASA was healthy, Jefferies says. The brokerage maintained 'Buy' on the stock and raised the target price to Rs 840 per share.

CLSA on Axis Bank | CLSA lifts its FY22-23 earnings estimates or Axis Bank by 5-12 percent, says an improvement in underwriting in last 4-5 years should lead to a big rerating for the bank. CLSA also raised the target price to Rs 1,000 per share.

Bernstein on Axis Bank | Higher provisions kept Axis Bank’s headline numbers weak, Bernstein says.

Citi on HUL | Citi maintains 'Buy' rating on HUL and has raised revenue forecasts by 1-2 percent.

Jefferies on HUL | Pick-up in personal care is positive, while the muted trend in the laundry is a disappointment, Jefferies said.

CLSA on HUL | CLSA continues to see HUL as a structural play in Indian FMCG after the company announced its Q3 earnings.

JP Morgan on HUL | The brokerage maintained 'Overweight' on HUL. It plans to add the stock if there’s any pullback.

CLSA on Bank of Baroda | The bank has delivered a surprise on asset quality; it sounds cautious on retail/MSME, CLSA said. It maintained an 'Outperform' rating and raised the target price to Rs 80 per share.

CLSA on Emami | Decent Q3 by Emami but there are tailwinds in the price, CLSA said. It has downgraded the stock due to limited upside.

CLSA on ICICI Prudential | CLSA expects APE trends for the company to improve in FY22, driven by a lower ULIP base.

CLSA on Nippon Life AMC | The brokerage has downgraded the stock to 'Outperform' from 'Buy' but raised the target price to Rs 340 per share.