Thursday's top brokerage calls: Motherson Sumi, Berger Paints and more

SUMMARY

Among brokerages, Nomura, CLSA and Jefferies downgraded Motherson Sumi after the company posted its March quarter numbers. Meanwhile, Macquarie is bearish on Berger Paints after the results. Here's a look at the top brokerage calls for today:

By CNBCTV18.comJun 3, 2021 9:15:44 AM IST (Published)

Nomura on Motherson Sumi: The brokerage downgraded the stock to 'neutral' with a target at Rs 301 per share. Motherson Sumi’s profitability will continue to rise further as electric vehicles will likely gain share, the brokerage says.

Goldman Sachs on Motherson Sumi: The brokerage maintains a 'buy' call on the stock with a target at Rs 236 per share. Operationally, the company's Q4 numbers remained below estimates but it beat expectations on order wins and cash flow generation, GS said.

CLSA on Motherson Sumi: The brokerage downgraded the stock to 'outperform' with a target at Rs 290 per share. However, it raised FY22/23 EPS estimates by 2-3 percent. It also said that current valuations limit upside potential.

Jefferies on Motherson Sumi: The brokerage downgraded the stock to 'underperform' with a target at Rs 205 per share. Motherson Sumi’s Q4 EBITDA was 9 percent below estimates, said Jefferies, adding that its operational outlook is good with expectations of cyclical recovery.

Macquarie on Berger Paints: The brokerage maintains an 'underperform' call on the stock with a target at Rs 600 per share. The firm believes lost demand should come back in FY22.

Nomura on Berger Paints: The brokerage maintains a 'reduce' call on the stock with a target at Rs 675 per share. It expects Berger Paints to face margin pressure in FY22.

CLSA on Biocon: The brokerage maintains a 'sell' call on the stock with a target at Rs 260 per share. It said that market share for Biocon may remain elusive and the risk of a further earnings downgrade is high.