Here's what Citi says on RIL, CLSA on L&T & Morgan Stanley on Maruti
Citi finds RIL Rs 3,170-worth as it upped its rating on the scrip to 'buy' to factor in a refining boost. Despite recovery from the recent low, RIL shares have still underperformed the broader market by over 20 per cent since mid-2020.
By Amit Mudgill, ETMarkets.com |
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NEW DELHI: Foreign brokerage Citi has upgraded Reliance Industries (RIL) rating to 'buy'. CLSA finds Larsen & Toubro's tech business booming as it maintains a 'buy' rating on the stock. Morgan Staley, another foreign brokerage, meanwhile, expects shares of Maruti Suzuki to rise relative to the country index.
Among the three stocks, Citi finds RIL Rs 3,170-worth as it upped its rating on the scrip to 'buy' to factor in a refining boost. Despite recovery from the recent low, RIL shares have still underperformed the broader market by over 20 per cent since mid-2020. The brokerage has raised its FY23-24 Ebitda estimate for RIL by 3-9 per cent. While Q4 results may not see any major benefits in the oil-to-chemicals (O2C) segment, any stock correction is an enhanced buying opportunity, Citi said.
In case of Maruti Suzuki, Morgan Stanley noted that the auto industry has taken price hikes in April. It believes that the recent rupee strength against the Japanese yen should give Maruti a 30-40 basis points cushion. Net model newsflow should drive outperformance in Maruti Suzuki, Morgan Stanley said while suggesting a target of Rs 9,473 on the stock.
CLSA said L&T's tech business is among the top five by market capitalisation and has ESG upside. The business is booming, with sector leading growth and solid guidance for FY23, it said. In the core E&C segment, the company's domestic orders are weak but margins are sector leading, CLSA said, as it suggested a buy on the stock with a target of Rs 2,340.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
Among the three stocks, Citi finds RIL Rs 3,170-worth as it upped its rating on the scrip to 'buy' to factor in a refining boost. Despite recovery from the recent low, RIL shares have still underperformed the broader market by over 20 per cent since mid-2020. The brokerage has raised its FY23-24 Ebitda estimate for RIL by 3-9 per cent. While Q4 results may not see any major benefits in the oil-to-chemicals (O2C) segment, any stock correction is an enhanced buying opportunity, Citi said.
In case of Maruti Suzuki, Morgan Stanley noted that the auto industry has taken price hikes in April. It believes that the recent rupee strength against the Japanese yen should give Maruti a 30-40 basis points cushion. Net model newsflow should drive outperformance in Maruti Suzuki, Morgan Stanley said while suggesting a target of Rs 9,473 on the stock.
CLSA said L&T's tech business is among the top five by market capitalisation and has ESG upside. The business is booming, with sector leading growth and solid guidance for FY23, it said. In the core E&C segment, the company's domestic orders are weak but margins are sector leading, CLSA said, as it suggested a buy on the stock with a target of Rs 2,340.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
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