Brokerage Views: Goldman Sachs On RIL, UBS On ABB India And More

Top brokerages, from Goldman Sachs to Citi, have come out with interesting stock calls on a variety of sectors. Goldmand Sachs maintain rating on RIL but raises the target price. Whereas Citi Research remain bullish on OMCs.

Benchmark equity indices snapped their three-day rally and ended lower on Tuesday as losses in heavyweights weighed, while broader indices ended higher.

The Nifty lost 75.90 points, or 0.34%, to close at 22,020.85, while the Sensex ended down 357.98 points, or 0.49%, at 72,473.96.

We at NDTV Profit are tracking what the brokerages are putting out on specific stocks on the go. Here are all the top calls you need to know this Thursday morning.

• Goldman Sachs maintains 'buy' on Reliance Industries Ltd. The research firm raises the target to Rs 3,400 apiece.

• Expects cash return on cash invested to expand by 270 bps to 12% in FY27

• Expect capex to fall sequentially

• The research firm expects 17% Ebitda CAGR over FY24-27

• RIL investments in next 3 years to be less capex heavy, higher in returns with short gestation period

• Motilal Oswal maintains 'neutral' on Shree Cement at Rs 27,700 apiece target price.

• Cut Ebitda estimates for FY25/26 by 5% due to pricing pressure

• Majority of future expansions to be focused on existing markets

• Large part of central, west regions to remain untapped till FY27

• Company now focusing on improving brand equity

• Expect capacity/volume CAGR of 11%/10% over FY24-26.

• UBS retains 'buy' on ABB India. With a price target of Rs 7,550 apiece; upside potential of 26%.

• Electrification and motion to drive growth and margins

• Believe ABB is best play on infrastructure scale-up in voltage electrification.

• Expects significant scope to ramp up voltage electrification portfolio where it trails Schneider and SIEM.

• Assume better growth in export orders with premium product mix & operating leverage.

• Expect improvement in margins, which should support premium valuation.

• Citi maintains 'neutral' on Coal India at Rs 430 apiece target

• Expects disappointing e-auction price trends in fourth quarter.

• E-auction premium to FSA prices at 39% in Feb. 2024, lowest since July 2021.

• Expect e-auction volume at 70mt in FY25.

• Expects 10% change in e-auction volumes to impact EPS by 2.3%

• Key risks: lower volumes on weak power demand

• Valuations remain undemanding, selectively at discounts to their own history and relative to the market, while ownership trends too remain supportive.

• The margin outlook is favourable in both key segments, viz. refining and marketing, which should help integrated margins sustain above historical averages over FY25-26E.

• Possibilities under the next government would be a return to dynamic fuel pricing and revival of privatization.

• Key risks: Political uncertainty, oil price spike.