Brokerage Radar | 360 ONE gets ‘buy’ tag; Varun Beverages, GMR Airports and Oil India enjoy bullish calls
Check out the latest brokerage calls and analyst comments on the stocks in action today. Our coverage includes stocks like GMR Airports, Varun Beverages, Oil India and 360 One, along with views on the RBI’s latest monetary policy outcome.
Jefferies On GMR Airports
Buy Call, Target At Rs 106/Sh
Co Signed A Concession Agreement For Development/Operation Of The Nagpur Airport
The Nagpur Airports Is Relatively Small Currently
Nagpur Is Of Strategic Importance Being At Geographic Center Of India
Airport Has An Attractive Revenue Share At 14.49% With Co Moving To 100% Ownership
Believe, The Agreement Should Lead To A Stronger Growth Trajectory
UBS On 360 ONE
Initiate Buy Call, Target At Rs 1,250/Sh
Core ARR Revenue & AUM To Grow Faster Vs Overall Business; TBR A Plus
Core Profitability Expected To Improve, Backed By Higher Operating Leverage
New Business Avenues – HNWI And Global Business Pose Upside Risks
Expect RoE To Improve From 24.5% In FY24 To 32% In FY27 & 36-37% By FY29
HSBC On Varun Beverages
Buy Call, Target At Rs 780/Sh
Board Approved A QIP For An Amount Of Up To Rs 7,500 Cr, Implying 4% Equity Dilution
Co Intends To Use QIP Proceeds For Debt Repayment, To Strengthen Balance Sheet & For Growth
A Faster ROIC Expansion Is Possible As Value Shifts From Debt To Equity Holders
MOSL On Oil India
Buy Call, Target At Rs 720/Sh
CMP Implies Standalone Business Trading At 7x FY27E P/E
Production Growth Outlook Robust, Posting 9% CAGR In FY24-27
Expansion Of Refinery Capacity; New CGDs Driving Demand
RBI Policy
Citi On RBI Policy
RBI Kept Rates On Hold, Changed Stance To Neutral
Beyond The Adjustments, RBI Kept Annual FY25 Inflation & Growth Outlook Unchanged
Have Marginally Adjusted Baseline View Of 1st Rate Cut Being In Feb Rather Than Apr
Acknowledge That There Are Risks Of A Delayed Rate Cut
Change In Stance Appears To Be More About Gaining Policy Flexibility
Rate Cut Cycle Could Be Shallow (50 bps) Unless Growth Weakens Materially.
JPMorgan On RBI Policy
RBI Holds Rates And Softens Stance To Neutral
Stance Change Had Become A Closer Call For Us In Recent Days
Had Expected RBI To Change Stance To ‘Neutral’
Stance Change Was Expected As We Had Become More Agnostic In Recent Days
Stance Expectations Came As Global Financial Conditions Tightened
Stance Change Supports Our Broader Call For RBI To Start Easing In Dec
HSBC On RBI Policy
As Expected, RBI Changed Stance For More Flexibility, While Keeping Rates Unchanged
Since The Stance Was Changed, Rate Cuts Will Begin In The Next Meeting
Expect 50 bps In Rate Cuts Over Dec & Feb, Taking Repo Rate To 6%
Nomura On RBI Policy
See Inflation As Aligned To The Target And Rising Downside Risks To Growth
Technically, December Cut Is Not A Done Deal
Expect 100 bp Of Cumulative Cuts In The Cycle To 5.50%
Despite The Change In Stance, RBI Maintained FY25 GDP Growth Outlook At 7.2%
RBI Governor Das Pushed Back Against Signals Of Slowing Growth Momentum
MS On RBI Policy
Steady Policy Rates & Change In Stance In-line With Our Expectations
Expect Shallow Easing Cycle From Q1CY25, Thanks To A Benign Trend In Inflation
Pivot Likely To Shallow Rate Easing Cycle, As Inflation Outlook Turns Benign
UBS On RBI Policy
Repo Rate Kept Unchanged At 6.5%; Policy Stance Changed To ‘Neutral’
Softening In Domestic Growth Momentum; Near-term Upside To Inflation
Continue To Expect 75 bps Easing In This Cycle
Stay Long Bonds, But Expect Some Near-term External Bumps
Goldman Sachs On RBI Policy
RBI Changes Policy Stance But Balances It With Robust Growth Outlook
Continue To Expect A Shallow Easing Cycle Of Total 50 bp Rate Cuts
Expect 25 bps Rate Cut Each In December 2024 & February 2025 Meeting
CLSA On RBI Policy
Rate Unchanged, Stance Changed To Neutral But Commentary Hawkish
A War On Inflation Remains The Focus Of The RBI Governor
RBI Not Concerned About Any Sustainable Growth Slowdown
Real Repo Rate At Five-year High Gives Enough Room To Cut
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