Kotak Institutional Equities has recommended a buy rating on Interglobe Aviation with a target price of ₹4300. The pricing going up may be vital for the sector’s financial health, with the sector in the red for FY2024 while Indigo is operating at healthy spreads. The profitability of Indigo has the potential to breach past peaks and sustain for a long time before normalizing down.
On the other hand, Goldman Sachs has downgraded Bandhan Bank to Neutral with a target price of ₹211. They are awaiting better clarity on near-term growth and profitability, cutting loan growth estimates for FY25E/FY26E. However, they still expect the bank to deliver ROA/ROE in FY25 of 1.9%/16%.
HSBC has raised the target price for Cable & Wire Companies such as Polycab, KEI Industries, and RRRK Kabel. They expect strong volume-backed mid-teens year-on-year revenue growth and strong profit growth for these covered stocks as the sector continues to see strong growth tailwinds.
Moving on, MOSL has a buy rating on CONCOR with a target price of ₹1120. They believe that the commissioning of the Dedicated Freight Corridor will drive containerized cargo movement, making the company a key beneficiary. They expect a blended volume to report a 10% CAGR during FY24-26.
Bank of America Securities has resumed coverage on Paytm with a target price of ₹400. They believe that the lending business growth is gradual and competition is high in payments, with earnings recovery and re-rating expected to be 2-3 quarters away.
Lastly, Jefferies has a positive outlook on Wealth Management Companies, expecting leading players to benefit from strong inflows and operational efficiencies to deliver a 20-22% profit CAGR over FY24-27E. They also anticipate a rise in the share of trail fees, improving earning visibility and supporting valuation re-rating.
Overall, these recommendations and insights from various financial institutions provide a comprehensive overview of the current market trends and potential investment opportunities in different sectors.
