Wednesday's top brokerage calls: Axis Bank, pharma firms and more

SUMMARY

Indian equity markets are expected to open higher on Wednesday tracking positive global cues even as investors awaited the US Federal Reserve’s decision on interest rates, expected later in the day. Among brokerages, Jefferies and CLSA remain bullish on Axis Bank post its Q4 results. Here are the top brokerage calls for today:

By CNBCTV18.comApr 29, 2020 8:29:34 AM IST (Published)

Jefferies on Axis Bank: The brokerage maintained 'buy' call on the stock with the target at Rs 530 per share. It added that a strong deposit franchise can help the company return to growth in FY22.

CLSA on Axis Bank: The brokerage maintained a 'buy' call on the stock with the target at Rs 595 per share. As per CLSA, the loss of Rs 1,400 crore in Q4 was due to a higher provision buffer.

Jefferies on pharma: According to the brokerage, 11 facility clearance in 40 days drive the perception of a lenient FDA. It expects the UDFDA to clear most warning letters in 18 months. Sun Pharma and Syngene remain Jefferies' preferred picks from the sector.

Jefferies on Gas Companies: COVID-19 can hurt CNG and industrial PNG volumes in the near-term, said the brokerage. It lowered its FY21 volume estimates by 18-25 percent.

Nomura on Paint Companies: The brokerage has 'buy' calls on Asian Paints and Kansai Nerolac but is 'neutral' on Berger Paints.