Top brokerage calls for June 17: CLSA bullish on ITC but cuts TP, Morgan Stanley 'underweight' on Hexaware

SUMMARY

India benchmark indices are set for a muted start on Monday as concerns of rising oil prices and delayed monsoon weigh on the economy. Asian shares also traded flat ahead of the monetary policy decision of the US Federal Reserve on June 19. Among brokerages, CLSA remains positive on ITC but cuts its target price. While Credit Suisse has an 'underperform rating for Dr Reddy's and 'neutral' call on Sun Pharma. Morgan Stanley is 'overweight' on Biocon and 'underweight on Hexaware. Here are the top brokerage calls for Monday:

By CNBC-TV18Jun 17, 2019 8:44:14 AM IST (Published)

CLSA on ITC: The brokerage maintains 'buy' target on the stock but reduces its target price to Rs 365 per share from Rs 400 earlier. Risk-reward attractive, but target cut on a lower cigarette multiple, the brokerage added.

Morgan Stanley on Hexaware: The brokerage is 'underweight; on the stock with the target at Rs 350 per share. Revenue synergies will be key to watch as margin upside is limited, it added.

Credit Suisse on Dr Reddy's: The brokerage retains 'underperform' rating for the stock with a target at Rs 2,415 per share. It expects 3 filings from the company in 2019.

Morgan Stanley on Biocon: The brokerage maintains 'overweight' call on Biocon, expects sales momentum to continue with biosimilar business.

Credit Suisse on Sun Pharma: The brokerage maintains a 'neutral' call on Sun Pharma after the company's second phase study on Illumya.

Citi on JSPL: The brokerage is bullish on the stock with the target at Rs 250 per share. Valuation of the stock remains cheap with significant growth in cash flows and fast deleveraging, it added.