Hot Stocks: Brokerage view on Tata Consumer, Varun Beverages and Mankind Pharma
Top brokerage firms like Motilal Oswal, Jefferies, and Morgan Stanley have issued buy ratings and targets for Mankind Pharma, Nykaa, Tata Consumer, and Varun Beverages.
Brokerage firm Motilal Oswal initiated coverage on , Jefferies has a buy rating on and Morgan Stanley recommended an overweight stance on and .We have collated a list of recommendations from top brokerage firms from ETNow and other sources:
Motilal Oswal on Mankind Pharma: Buy| Target Rs 2650
Motilal Oswal initiated coverage on Mankind Pharma with a buy rating and a target of Rs 2,650. The company is working on multiple levers to boost growth over the next three to five years.
The company is increasing the scope of business in chronic therapies. It is enhancing its presence in metro/Tier-l cities.
The brokerage firm expects a 16% earnings CAGR for Mankind over FY24-27.
Jefferies on NYKAA: Buy| Target Rs 220
Jefferies maintained a buy rating on NYKAA with a target price of Rs 220. The beauty and personal care segment (BPC) offers significant growth headroom.
An increase in user awareness should drive category growth. Fashion plays in a niche (premium) market.
The global investment bank sees a clear need among customers who are value-conscious and not just discount-seeking.
BPC margins should be range-bound in the short term as growth is a priority.
Morgan Stanley on Tata Consumer: Overweight| Target Rs 1,288
Morgan Stanley maintained an overweight rating on Tata Consumer with a target price of Rs 1288.
The management is focused on growing the business and improving margins and return ratios for the existing business.
The core tea and salt business will target 5% volume growth and 7-8% value growth over the medium term.
The company will continue to evaluate inorganic opportunities. Nourishco, Sampann, Soulful, Capital Foods, and Organic India will grow at 30%.
EBITDA margins are expected to improve by 75-125bps annually.
Morgan Stanley on Varun Beverages: Overweight| Target Rs 1,701
Morgan Stanley maintained an overweight rating on Varun Beverages with a target of Rs 1701. The near-term demand benefits from heatwaves.
The medium-term focus is on thriving volume growth and maintaining margins. The company sees the opportunity to scale the food business in Africa. There is no further equity raise planned currently.
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)
The company is increasing the scope of business in chronic therapies. It is enhancing its presence in metro/Tier-l cities.
The brokerage firm expects a 16% earnings CAGR for Mankind over FY24-27.
Jefferies on NYKAA: Buy| Target Rs 220
Jefferies maintained a buy rating on NYKAA with a target price of Rs 220. The beauty and personal care segment (BPC) offers significant growth headroom.
An increase in user awareness should drive category growth. Fashion plays in a niche (premium) market.
The global investment bank sees a clear need among customers who are value-conscious and not just discount-seeking.
BPC margins should be range-bound in the short term as growth is a priority.
Morgan Stanley on Tata Consumer: Overweight| Target Rs 1,288
Morgan Stanley maintained an overweight rating on Tata Consumer with a target price of Rs 1288.
The management is focused on growing the business and improving margins and return ratios for the existing business.
The core tea and salt business will target 5% volume growth and 7-8% value growth over the medium term.
The company will continue to evaluate inorganic opportunities. Nourishco, Sampann, Soulful, Capital Foods, and Organic India will grow at 30%.
EBITDA margins are expected to improve by 75-125bps annually.
Morgan Stanley on Varun Beverages: Overweight| Target Rs 1,701
Morgan Stanley maintained an overweight rating on Varun Beverages with a target of Rs 1701. The near-term demand benefits from heatwaves.
The medium-term focus is on thriving volume growth and maintaining margins. The company sees the opportunity to scale the food business in Africa. There is no further equity raise planned currently.
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)
Source: Stocks-Markets-Economic Times
