Hot Stocks: Brokerage view on ITC, Godrej Consumer, Jubilant FoodWorks and Bajaj Finance

The global investment bank has a buy rating on and raised the target price to Rs 2900 from Rs 2700 earlier.

Nomura maintained a buy rating on Five-Star Business Finance but slashed the target price to Rs 880 from Rs 900 earlier.

NBFCs are on a slippery slope, and growth drivers are at risk. FY25 to be a reset year, said the note. Nomura reiterates cautious stance on NBFCs, especially small/mid-tier NBFCs.

Growth should moderate on account of multiple headwinds. The global investment bank remains positive on MSME and used vehicles as segments going into FY25.

Shriram Finance and Five-Star remain are Nomura’s top picks.

CLSA on ITC: Buy| Target Rs 468

CLSA upgraded ITC to a buy from outperform earlier but slashed the target price to Rs 468 from Rs 486 earlier.

The Cigarette volumes are likely to be muted but premiumisation is underway. FMCG is gradually becoming a key driver.

Quick commerce is likely to accelerate portfolio Premiumisation. The recent correction offers an attractive multiple in a volatile market.

CLSA on Jubilant FoodWorks: Sell| Target Rs 439

CLSA maintained a sell rating on Jubilant FoodWorks with a target price of Rs 439. Profitability in Turkey and Bangladesh is in line with expectations. However, there is currency risk as cash flows in Turkish lira and the debt is in euros.

Macquarie on Godrej Consumer: Neutral| Target Rs 1150

Macquarie maintained a neutral rating on Godrej Consumer with a target price of Rs 1150.

Multiple checks suggest slower offtake for active ingredient-based incense sticks in South India. Retailers prefer peers who offer better trade margins.

Efficacy improvement is likely to be more accretive in liquid vaporisers. Competition will find it harder to replicate GCPL's active ingredient in liquid.

The global investment bank believes that execution risks are associated with the new active ingredient-based incense stick which are not adequately reflected.

(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)