Brokerage Firms Unveil Key Stock Ratings and Price Targets for Major Companies
In a series of recent analyst reports, leading brokerage houses have issued updated ratings and target prices for several prominent Indian companies, including Tata Consultancy Services (TCS), Eicher Motors, Delhivery, and JSW Steel. These assessments provide insights into market expectations amid evolving business conditions and sectoral trends.
Kotak Institutional Equities Bullish on TCS with Buy Rating
Kotak Institutional Equities has assigned a buy rating to TCS, setting a target price of Rs 3,100. Analysts noted that the company delivered an in-line quarter, supported by enhanced momentum in its international business and stable profitability. Bookings were robust, featuring three mega deals, indicating strong client engagement.
They highlighted that TCS appears to be emerging from a period of unusual underperformance, previously driven by factors such as the BSNL deal ramp-down, insourcing activities, and program completions. Over the past year, the stock price has declined by 19%, underperforming peers during a cyclically weak phase. However, analysts anticipate that FY27 should witness a meaningful narrowing of the growth differential with competitors.
Furthermore, TCS's readiness in generative AI (GenAI) is becoming increasingly evident through targeted workforce interventions, broader AI investments, and a more focused consulting push. The brokerage remains constructive on the stock and has raised earnings per share (EPS) estimates by 3% based on revised currency assumptions.
Nomura Cautious on Eicher Motors with Neutral Stance
Nomura has issued a neutral rating for Eicher Motors, with a target price of Rs 7,827. This follows the company's launch of the Flying Flea, the electric version of its Royal Enfield brand of motorcycles. Analysts acknowledged that Eicher showcased several innovative technologies in the model but suggested that further iterations may be necessary for mainstream adoption.
Key features of the Flying Flea include a 3.5-inch round thin film transistor display with a joystick interface, an industry-first rotary mode switch, multiple ride modes (including a configurable custom mode), a lean-angle sensing anti-lock braking system, cruise control, voice assist, over-the-air updates, and live location sharing. Despite these advancements, analysts believe the product needs to evolve further in areas such as battery size, charging capabilities, and comfort to appeal to mainstream motorcycle customers.
HSBC Maintains Hold Rating on Delhivery Amid Market Resilience
HSBC has reaffirmed a hold rating on Delhivery, raising the target price to Rs 500. Analysts observed that Delhivery's share price has remained resilient despite concerns related to the West Asia conflict, which could lead to fuel inflation and demand destruction. Notably, India's pump prices have yet to rise, and during the 2020-22 period, the company demonstrated an ability to mitigate such spikes effectively.
They expressed confidence in the near-term demand, which remains robust. Consequently, HSBC has increased its FY28 earnings before interest, taxes, depreciation, and amortisation (EBITDA) estimates by 2%, driven by higher Q4FY26 volumes.
Morgan Stanley Overweight on JSW Steel Despite Production Challenges
Morgan Stanley has maintained its overweight rating on JSW Steel, with a target price of Rs 1,330. Analysts reported that the company's Q4FY26 production was impacted by a blast furnace shutdown undertaken for expansion purposes. Domestic volumes declined by 1% on an annual basis but remained flat sequentially, while consolidated volumes fell by 2% year-over-year.
Sales volumes are likely being supported by inventory destocking efforts. The brokerage indicated that it awaits further clarity from upcoming financial results to assess the company's performance more comprehensively.
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