Hot Stocks: Brokerages on NTPC, Gabriel India, Kajaria Ceramics and Berger Paints

Brokerage firm Bernstein initiated an outperform rating on NTPC, Choice Broking maintained an outperform rating on Gabriel India while Geojit has an accumulate rating on Kajaria Ceramics and a buy rating on Berger Paints.

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

Bernstein on NTPC: Outperform| Target Rs 274
Bernstein maintained an outperform rating on NTPC with a target price of Rs 274. NTPC’s critical role in India’s transition to green energy is underappreciated.

The majority mandate is to add thermal power sits with NTPC. Renewable potential is underappreciated.

The company has a low cost of borrowing compared to private players, which will aid growth. The brokerage firm sees limited regulatory risk in NTPC in FY24-29 cycle 18.

The valuations are below long-term averages and private peers despite having a high return on equity (RoE).

Choice Broking on Gabriel India: Outperform| Target Rs 263
Choice Broking maintained an outperform rating on Gabriel India with a target of Rs 262. Gabriel India delivered all around beat performance on all the key parameters.

Management continues to explore opportunities for product diversification. There are plans to acquire one or more products in FY24, with the intention of introducing 1 or 2 more products in the following years.

Geojit on Kajaria Ceramics: Accumulate| Target Rs 1610
Geojit maintained an Accumulate rating on Kajaria Ceramics with a target of Rs 1610. Kajaria Ceramics manufactures glazed and unglazed ceramic tiles. It sells its products in India and also exports to other countries.

The stock is trading at 38x P/E of FY25. This is lower than 3 years average P/E of 41x. We maintained an accumulate rating on the stock, with a rolled forward target price of Rs. 1,610 based on 42x FY25E adjusted earnings per share (EPS)

Geojit on Berger Paints: Buy| Target Rs 774
Geojit maintained a buy rating on Berger Paints with a target price of Rs 774. Berger Paints India (Berger) is the second-largest paints company in the domestic market, with 16 strategically located manufacturing units and a countrywide distribution network of 25,000+ dealers.

The company reported a strong earnings performance in Q1FY24, with improved sales and margins. Berger’s earnings potential appears promising amid favourable demand prospects, new product launches, and sustained profitability.

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

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