Hot Stocks: Brokerage view on HDFC Bank, M&M, Zomato, Indian Hotels and Ashok Leyland post Q2 results

Global brokerage firm Macquarie maintained an outperform rating on HDFC Bank. Jefferies retained an underperform rating on M&M and it maintained a buy call on Zomato. CLSA upgraded Ashok Leyland to a buy rating and Morgan Stanley initiated coverage on Indian Hotels with an overweight rating post Q2 results.

We have collated a list of recommendations from top brokerage firms from ETNow and other sources:

Macquarie on HDFC Bank: Outperform | Target Rs 2005
Macquarie maintained an outperform rating on HDFC Bank with a target price of Rs 2005. MSCI changes remove a major overhang, the brokerage said.


The new changes remove the technical overhang on the HDFC Bank. At 2.3x FY24E Core P/BV, HDFC Bank is a top pick, said the note.

Jefferies on M&M: Underperform| Target Rs 1140
Jefferies maintained an underperform rating on M&M with a target price of Rs 1140. The automaker reported a good Q2.

The brokerage said that the auto segment is looking strong, but the risk of a tractor slowdown looms. The global investment bank raised FY23-25E EPS by 8- 9%.

The company reported a strong SUV order book, and at the same time, it is gradually raising capacity which is a positive sign, it added.

Jefferies on Zomato: Buy | Target Rs 100
Jefferies maintained a buy rating on Zomato with a target price of Rs 100. Break-even in sight in the food delivery business which is a key positive, it said.

Blinkit growth outlook is positive, and the integration has been smooth, it added. The global investment bank has incorporated Blinkit in forecasts.

CLSA on Ashok Leyland: Buy | Target Rs 177
CLSA upgraded Ashok Leyland to a buy with a target price of Rs 177. Ashok Leyland is gaining market share in CVs.

EBITDA misses estimates, but outlook remains very strong, said the note. CV demand remains strong and at the same time the company is gaining market share and in terms of leverage, the debt levels are also coming down, it added.

Morgan Stanley on Indian Hotels: Overweight| Target Rs 381
Morgan Stanley initiated coverage on Indian Hotels with an overweight rating and a target of Rs 381. IHCL is India's premium hospitality play.

IHCL is pricing in industry normalization and cost rationalization. The next leg of growth in margins and return ratios which will be driven by the industry's upcoming RevPAR upcycle, the brokerage said.

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