BNP Paribas On JSW Energy
Maintain Neutral, TP Rs 600/share
Capacity addition inline with estimates
Remains as a key positive for the company
FYTD addition at 1.6GW includes 300MW inorganic thermal
See significant order pileups which could impact execution timeline (Toshiba JV)
Co orders the entire 3.2GW turbine generators
Macquarie On Sun Pharma
Maintain Outperform, TP Rs 2150/share
On In-licencing of PCSK9 inhibitor
The product received European Commission approval on 21 September 2026.
Under the agreement, Co will make upfront, milestone, and royalty payments
Moving into cardiovascular therapy to leverage Organon platform
More cross-selling opportunities expected with this licensing deal
CITI On IT
Continued weakness in a seasonally strong Q2
Indian IT is heading towards a fourth consecutive subdued growth year.
Expect 2QFY27E cc organic services revenue at -0.7% to ~+1.5% qoq for leading 6 companies.
Continue to see weakness near-term; margin trajectory is another focus as currency gains are limited in 2Q (compared to past few Qs).
NSE IT now trades at 16x 1-year forward consensus EPS; below pre-pandemic 5year averages but well above global peers
HSBC on Ola Electric
Reduce TP Rs 24
Giga Factory visit takeaways
Ola accelerates battery manufacturing and localisation; it expects yields to reach c90% from c70% in next 6-9 months
Ola future factory reflects automation and vertical integration supporting management claim of better operating margins
Rebuilding of brand image and management’s commitment delivery remain key monitorables
Kotak on Schaeffler (Management Meet)
Domestic auto segment continues to outpace the industrial segment, where demand remains mixed
Export growth of 15-20% is driven by capacity availability rather than a defined geographical strategy
Localization, now at 80%, remains the anchor of the export and cost strategy
Order pipeline remains healthy, with capacity additions
Vitesco integration progressing according to plan
Kotak On Electronic Manufacturing Services Sector
Cyient DLM-Increase FV to Rs1,740 (from Rs1,050)-Maintain Sell
Avalon Tech-Increase FV to Rs770 (from Rs430)-Maintain Sell
Semiconductor equipment opportunity emerges
See strong growth for Cyient and Avalon
With revenues quadrupling in the next six years (25%+ CAGR)
Semiconductor and other new ventures will only start contributing to numbers from FY2029 in a meaningful way
India EMS: Components offer an opportunity beyond fabs/OSAT
Nomura – September Commodity Price Tracker
Most raw material prices, except for Brent and HDPE, have either remained range-bound or softened MoM in September
Least impacted: Marico
Most impacted: Godrej Consumer Product, Colgate Palmolive India, HUL, and Paints
However, prices are still up q-q/y-y at levels materially above the product price hikes taken by consumer companies in 1QFY27
Kotak Insti on Equitas Small Finance Bank (Management Meet)
Maintain Buy, FV unchanged at Rs 95/share
Business momentum has picked up across segments
Trends in asset quality are encouraging
Operating profitability is expected to improve, led by favorable mix changes and operating leverage
Valuations offer headroom
Morgan Stanley On IIP Growth (August Data)
Within manufacturing, 18 out of 23 groups recorded positive growth, led by electrical equipment, motor vehicles, trailers and other transport equipment.
The trend in industrial activity improved in August, reversing the monsoon-related softness in July
In addition, other high-frequency indicators, including industry credit growth, capital goods and infrastructure-related activity, continue to hold up
Expect private capex to gather pace in the coming quarters, supported by resilient domestic demand, improving capacity utilization and continued policy support
Axis Capital IC on EIH
Initiate Buy, TP at Rs 385/share
EIH owns several marquee assets in the domestic/international markets.
Pipeline, although reviving after a period of stagnation
Valuations are attractive (12Y low)
Growth improving on both pipeline and RevPAR outperformance
Are-rating is due that could boost medium-term returns.
CLSA On Indian Autos (Industry Meet)
Outlook on demand remains resilient
Managements expecting the festive season (Sep-Nov) to deliver mid-to high single-digit growth despite a high base from last year
This was supported by the GST rate cut.
However, raw material cost inflation is expected to pressure margins even beyond the September quarter, potentially leading to further price hikes.
Entry-level products continue to face challenges in passing through the cost inflation.
The electrification outlook has improved across both 2Ws and PVs, supported by the recent increase in retail fuel prices and new launches.
Players are expanding capacity to cater for incremental demand.
Preferred picks in the space remain M&M, Bajaj Auto and Ather Energy.
