Top brokerage calls for November 18: Nomura positive on ICICI Bank, SBI post Essar Steel judgement; MS 'overweight' on BPCL

SUMMARY

Indian shares are likely to open little changed on Monday, in line with global markets. Among brokerages, Morgan Stanley is 'overweight' on BPCL, while Nomura believes that the Essar Steel judgment will be positive for SBI and ICICI Bank. Here are the top brokerage calls for Monday:

By CNBC-TV18Nov 18, 2019 8:51:39 AM IST (Published)

Morgan Stanley on BPCL: The brokerage maintained 'overweight' call on the stock with a target price of Rs 571 per share. It also added that stake sale should also reduce government intervention risk and improve marketing margins.

Nomura on Essar Steel Case: The Supreme court judgment favours banks and hence is positive for SBI and ICICI Bank, said the brokerage. It also added that recovery for banks in the case will be closer to 90 percent versus 60 percent earlier. SBI Could have a recovery of around Rs 12,000 crore as suggested by the Committee of Creditors.

Nomura on India's trade deficit: Trade deficit remains stable as imports and exports continue to contract, Nomura noted. The brokerage added that contraction in imports is more pronounced than that of exports and it suggests a sharper slowdown in domestic demand versus global demand.

Kotak Institutional Equities on Ashoka Buildcon: The brokerage maintained 'buy' on the stock and raised its target price to Rs 210 per share from Rs 180 earlier. Q2 was a mixed quarter for the company with in-line execution but was weak on traffic growth, added the brokerage.

HSBC on GIC: The brokerage maintained 'hold' call but raised its target to Rs 285 per share from Rs 265 earlier. Flood losses, hurricane claims, crop losses resulted in deterioration of loss ratio, noted the brokerage.