Market Buzz: Analyst Ratings and Stock Insights

Bank of Baroda: A Mixed Bag

Jefferies and HSBC both maintain a "Hold" call on Bank of Baroda, cutting their target to Rs 250/share. While Q3 profit surpassed expectations due to lower provisions, and loan growth reached a healthy 12%, a margin fall softened NII growth to a mere 3%. Jefferies expresses concern that the bank's high domestic LDR could restrict loan growth given slower domestic deposit growth. HSBC acknowledges improving credit costs and core fee income offsetting NIM pressure, but cites the need to account for further NIM pressure in their revised EPS estimates.

GAIL: A Buying Opportunity?

Nomura issues a "Buy" call for GAIL, setting a target of Rs 240/share. Despite Q3 results significantly missing estimates due to lower gas marketing and petchem profitability, Nomura points to attractive valuations of 10x FY27 P/E. Gas transmission EBIT fell short of expectations, declining 2% QoQ, and the LPG/LHC segment also underperformed.

Dabur: Steady Growth Expected

Nomura upgrades Dabur to a "Buy" with a Rs 3,315/share target, highlighting the recent stock correction as limiting downside risk. While Q3 revenue met expectations, EBITDA and profit fell short. Dabur's strategic focus on expanding its presence in Southern India and decision to hold off on price increases are notable points. Meanwhile, MS maintains an "Equal Weight" rating with a TP of Rs 531, noting rural growth outperforming urban for the fourth consecutive quarter. JPM retains a "Neutral" stance, lowering the TP slightly to Rs 550 and highlighting the challenges in the Healthcare and Beverage segments. Both MS and JPM anticipate gradual growth pickup, with JPM expecting margin expansion in FY26.

"Growth to gradually improve as rural improves and urban is near bottoming out," predicts Nomura.

Tata Consumer Products: Strong Core Performance

Nomura gives Tata Consumer Products a "Buy" rating with a Rs 1,250/share target, citing strong core delivery and high volume growth in tea. Price hikes are expected to further boost overall growth. GS, however, maintains a "Neutral" stance with a Rs 1,040 TP, noting Q3FY25 results fell short of expectations due to sharp margin declines in the India business driven by tea inflation. Despite this, Tata Consumer Products demonstrated stronger volume growth than HUL in the tea business.

Adani Ports: Positive Outlook Despite Q3 Volatility

Jefferies maintains a "Buy" rating on Adani Ports with a Rs 1,440/share target, highlighting Q3 EBITDA exceeding estimates due to higher SEZ income. The management's reaffirmed volume growth guidance of 10-14% YoY for FY25 implies a substantial 17-35% YoY rise in Q4. Bernstein and CLSA also maintain optimistic outlooks, with target prices of Rs 1487 and Rs 1764, respectively. Despite a slight PAT miss, both firms highlight strong performance aspects, including EBITDA beating consensus and strategic moves like deleveraging. CLSA specifically points to the strong performance of Hazira Port.

Other Notable Analyst Calls

Several other companies received analyst attention, including Kalyan Jewellers, JSPL, BEL, RR Kabel, SRF, PB Fin, Restaurants Brands Asia, Voltas, Tata Motors, Shree Cement, and L&T. Analyst opinions ranged from upgrades to downgrades, reflecting diverse perspectives on company performance and future prospects.