Hot Stocks: Brokerages on Jubilant FoodWorks, Sun Pharma and Federal Bank

Brokerage firm Macquarie maintained an underperform rating on Jubilant FoodWorks and outperform rating on Sun Pharma. Hem Securities has an accumulate rating on Federal Bank.

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

Macquarie on Jubilant FoodWorks: Underperform| Target Rs 445
Macquarie maintained an underperform rating on Jubilant FoodWorks with a target price of Rs 445. Risks to FY24E earnings is not appreciated, it said.


The global investment bank is of the view that the sales per store are likely to remain under pressure.

"In terms of valuations, at 57x FY24E EPS, it remains elevated vs the historical average. Scale-up in new formats is likely to be gradual," said the note.

Macquarie on Sun Pharma: Outperform| Target Rs 1275
Macquarie maintained an outperform rating on Sun Pharma with a target price of Rs 1275. Specialty ramp-up is likely to drive margin expansion, said the brokerage.

The company is well positioned in 2023. Specialty ramp-up offers meaningful operating leverage, said the note. FY24E-25E EPS is 7%-8% above visible alpha consensus.

Hem Securities on Federal Bank: Accumulate| Target Rs 161
Hem Securities maintained an accumulate rating on Federal Bank with a target price of Rs 161.

Federal Bank has one of the greatest retail and consistent deposit franchises among significant large private banks.

The bank's liability franchise is still strong, with CASA plus Retail TD at 92%, and over the medium term, it plans to steadily raise CASA deposits, Hem Securities said.

"The bank has managed asset quality well throughout the epidemic, and the bank intends to aggressively extend its footprint through partnerships with fintech companies as well as physical expansion. We value the company at 12.8x FY23 EPS to arrive at the target of 161," the note said.

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