Top brokerage calls for August 9: CLSA bullish on UltraTech Cement; Jefferies cuts TP of Emami

SUMMARY

Indian shares are likely to open in green on Friday, tracking gains in Asia, amid reports that the government may roll back the FPI surcharge. On Thursday, the BSE Sensex and the Nifty 50 closed over 1.5 percent higher. Among brokerages, Credit Suisse gave an 'underperform' rating on Page Industries, while Jefferies cut the price target for Emami. Here are the top brokerage calls for Friday:

By CNBC-TV18Aug 9, 2019 8:38:17 AM IST (Updated)

CLSA on UltraTech Cement: The brokerage gave a 'buy' rating on the stock and increased its target to Rs 5,400 per share from Rs 5,270. Unit EBITDA rallied close to an all-time high of over Rs 1,400/tonne, it added and raised FY20-21 EPS estimates by 7-9 percent.

Credit Suisse on Page Industries: The brokerage maintained 'underperform' rating on the stock and cut its target to Rs 15,000 per share. Q1 results were weak with volumes down 2 percent and PAT Declining 11 percent, it said, adding that this was company's first-ever volume decline.

Jefferies on Emami: The brokerage gave a 'hold' rating for the stock with target cut to Rs 350 per share from Rs 465. June quarter was weak as revenue grew 5.6 percent, led by 2 percent domestic sales growth, it said.

CLSA on Godrej Properties: The brokerage was bullish on the stock and raised its target to Rs 1,100 from Rs 1,063 earlier. The company is CLSA's top pick in the sector. It added that lowered gearing created headroom for faster growth for the company.

Jefferies on Adani Ports: The brokerage gave a 'buy' rating for the stock with a target cut to Rs 440 per share from Rs 425 earlier. Operational results were in-line with expectations and PAT beat forecast due to the lower tax rate, it added.

Citi on Mahanagar Gas: The brokerage was positive on the stock with a target at Rs 1,000 per share. EBITDA and PAT were ahead of expectations but volume growth was at a dismal 3 percent YoY, it said, adding that valuations remain attractive and further stake sale could be a near term overhang.