The Indian benchmark indices are likely to open on a flat note on Thursday, amid negative global sentiment, ahead of May F&O expiry. Asian stocks tracked Wall Street losses on Thursday as rhetoric from the United States and China over trade matters kept investor concerns alive.

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On Wednesday, the market snapped its three-day winning streak and closed lower dragged by banks, auto and metals stocks. The BSE Sensex fell 248 points to close at 39,502 while the Nifty 50 ended down 68 points to end at 11,861.

Among brokerages, CLSA downgraded M&M and cut its target price post Q4 numbers, while Citi maintained 'neutral' rating. CLSA and Credit Suisse cut Havells India's target price, while HSBC raised the TP. All brokerages remained bullish on the stock. Credit Suisse and Macquarie also cut Cadila Healthcare's target price. Credit Suisse downgraded TTK Prestige to 'underperform'.

Here are top brokerage calls for Thursday:

CLSA On M&M

- Downgrade to 'underperform' from 'buy', target price cut to Rs 690 from 850 per share

- Waning tractor demand, legacy SUVs under pressure

- Operational outlook deteriorated

- Higher exposure to diesel makes it more vulnerable

- See a muted 2 percent volume CAGR and 12 percent EPS decline over FY19-21

- Cut FY20-21 EPS estimates by 14-19 percent

Citi on M&M

HSBC on Havells India

- Retain 'buy', target raised to Rs 775 from Rs 765 per share

- Weak Q4 was predominantly due to disappointing Lloyd segment

- Commentary on medium-term outlook was strong

- Management flagged continued demand softness in Q1

- Buy on strong earnings growth outlook

CLSA on Havells India

- 'Outperform' rating, target cut to Rs 780 from Rs 815 per share

- Seasonality impacts Lloyd’s performance

- Lloyd couldn’t take price hikes needed to offset cost pressure

- AC channel inventory has now normalised

- Cut FY20/21 estimates by 6 percent/4 percent

- Company is a play on affordable housing push

Credit Suisse on Havells India

Credit Suisse on Cadila Health

- Maintain 'neutral', target cut to Rs 283 from Rs 330 per share

- Company may record no earnings growth for the next four years

- In the near-term, Moraiya facility flag classification is the key event

- US generic sales should grow by a low single digit

- Cut FY19-21 EPS estimates by 4-5 percent

Macquarie on Cadila Health

- Maintain outperform, target cut to Rs 340 from Rs 372 per share

- Lower FY20/21 EPS estimates by 13 percent/12 percent

- New launches to offset Moraiya hit

Credit Suisse on TTK Prestige

10 things you need to know before the opening bell on May 30

First Published:May 30, 2019 8:13 AM IST