Global vision: brokerage on Marico, M&M Finance, Maruti Suzuki and Paytm

Global vision: brokerage on Marico, M&M Finance, Maruti Suzuki and Paytm

We have collated a list of recommendations from various global brokerage firms according to a Zee Business TV report:

Investors can look at buying stocks on dips. The near-term level to watch out for the Nifty will be the 61.8% retracement of the recent correction that is placed around 17,766, suggest experts. On the flipside, 17,500-17,450 will now be the immediate support range.

Highlights

  • Marico in its quarterly update for Q3FY22 has said that the quarter was characterised by slowing consumption patterns, which affected the sector as a whole.

  • Marico: Buy| Target Rs 640

Citigroup maintained its buy rating on Marico with a target price of Rs 640 that translates into an upside of over 24 per cent from Rs 514 recorded on 3rd January.

This was mainly due to continuing inflation impacting overall disposable incomes as well as rising mobility unleashing some degree of pent-up demand for discretionary goods, services, and out-of-home consumption.

Softness in India got offset by strong international performance. The global investment bank does not see any material change to consolidated earnings forecasts. The management also alluded to weak sentiment and sluggish rural demand. High-teens constant currency growth likely in Q3, said the note.

Paytm: Overweight| Target Rs 1,850

JPMorgan initiated coverage on Paytm with an overweight rating and a target price of Rs 1,850 that translates into an upside of over 38 per cent from Rs 1,340 recorded on 3rd January. Macquarie still maintains an underperform rating on Paytm with a target of Rs 1,200.

M&M Finance: Buy| Target Rs 240 Mahindra & Mahindra Financial Services said that the company’s disbursements rose by 42 per cent to approximately Rs 2,750 crore in December 2021 as compared with December 2020.

Morgan Stanley maintained its overweight rating on M&M Finance with a target price of Rs 240 that translates into an upside of over 57 per cent from Rs 152 recorded on 3rd January. Citi also maintained its buy rating on M&M Finance with a target price of Rs 210 that translates into an upside of over 38 per cent from Rs 152 recorded on 3rd January.

Total passenger vehicle production stood at 1.48 lakh units down 3.1 per cent YoY from 1.53 lakh units. Macquarie maintained the outperform rating on Maruti Suzuki with a target price of Rs 8,546 that translates into an upside of over 13 per cent from Rs 7,524 recorded on 3rd January.

The carmaker has announced its December production number and said total production stood at 1.52 lakh units in December 2021, down 1.9 per cent from 1.55 lakh units produced in December 2020.   Maruti Suzuki: Outperform| Target Rs 8546