Brokerage Views: Nuvama On SBI, Titan, Divis Laboratories And More

Brokerages have State Bank of India, Titan Co., Divi's Laboratories Ltd. and others on their radar following the release of the earnings for the first quarter of the current financial year.

SBI posted a 0.89% rise in net profit to Rs 17,035 crore in the June quarter, while Divi's Laboratories Ltd.'s first-quarter profit rose in-line with analysts' estimates.

NDTV Profit tracks what the brokerages are putting out on stocks and sectors. Here are all the top calls from analysts that you need to know about on Monday.

Nuvama On SBI

The brokerage retains 'buy' rating on SBI with a target price of Rs 1,026 per share, implying an upside of 21% from the previous close.
SBI reported an above-average loan growth.
Strong deposit franchise and low LDR are key strengths.
Positive: Core NIM improved 6 basis points QoQ.
Valuation based on 1.5x BV FY26.

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Bernstein Research On SBI

Bernstein retains 'market perform' on SBI with a target price of Rs 810, implying a downside of 4%.
Deposit growth slightly below the system.
Marginal decline in the NIM.
Muted opex growth offset non-interest income normalisation.
Credit costs inch up.
Maintaining ROA of 1% would be challenging.

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Emkay On SBI

The brokerage retains 'buy' on SBI and raises the target price to Rs 1,025 apiece versus Rs 950 earlier, implying an upside of 21%.
Broadly healthy and in-line profit after tax.
Lower opex with the ad-hoc wage-revision provisions largely behind.
Expects the bank to deliver a 1.1% RoA/17–19% RoE.

Nomura On SBI

Nomura retains 'buy' on SBI with a target price of Rs 1030, implying an upside of 22%.
Healthy loan growth.
Soft sequential deposits growth.
Steady asset quality.
Deposits growth was soft.
Favourable base on opex will aid SBIN through fiscal 2025.
SBI has the lowest retail slippages and NPL’s among large banks.
Value bank at 1.5x June 26 book value per share.

Citi On Titan

The brokerage maintains 'neutral' rating with a target price of Rs 3,510 apiece, implying an upside of 1.7%.
Competition due to store expansion by existing players, entry of new player.
Slowdown in the pace of market share gain.
Margins/earnings downgrade risk.
Absolute valuations remain high.

Nuvama On Titan

Upgrades Titan to 'buy' with a target price of Rs 3,955, implying an upside of 15%.
Next levers of growth would come from the scale up of the international segment among others.
Titan had outlined a 15% CAGR target for the jewellery segment till fiscal 2027.
Building in a revenue CAGR of 16.6% in the jewellery segment till fiscal 2027.
Factoring in margins of 12% as guided by management in jewellery.

Nuvama On Divi's Laboratories

The brokerage upgrades to 'buy' for the company from reduce with target price of Rs 5,740, implying an upside 15.4%.
Reported mixed Q1 FY25 results with revenue beating consensus estimates.
Multi-year levers of growth, such as capex-led growth, opportunity in fiscal 2027 due to Rs 700-crore project for undisclosed client among others.
Expects continued ramp-up in Sacubitril/ Valsartan and contrast media business.
Expects a compounded annual growth rate of 20%/31% for revenue/profit over fiscal 2024–2027.

Nuvama On Hindustan Zinc

Nuvama maintains 'reduce' on Hindustan Zinc at a target price Rs 339, implying a downside of 47%.
Growth in Q1 FY25 Ebitda on higher zinc, lead and silver prices.
Benefit from higher prices partially offset by lower volumes.
Cuts fiscal 2025/26 Ebitda by 4% to factor lower zinc prices in fiscal 2025.
Expects fiscal 2025/26 zinc prices at $2,700/2,750 per tonne.
Expects approval to transfer general reserves to retained earnings to result in additional dividend by company.
Expects total dividend per share of Rs 40 per share.

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