Morgan Stanley has maintained its equal-weight rating on Dr Reddy's Laboratories with a revised target price of Rs 1,215, down from Rs 1,259 earlier. Analysts noted that the company's adjusted revenue and EBITDA for the January-March quarter (Q4FY26) fell short of expectations by 2% and 13%, respectively. The ramp-up of semaglutide has been slightly delayed due to a delay in approval from Brazil. Management expects to sell 6-7 million pens in calendar year 2026 and aims for a capacity of over 40 million pens by FY28. The US business is stabilizing after the loss of gRevlimid exclusivity, with a double-digit growth guidance for FY27. However, execution risks and a weak US generics environment could keep margin outlook subdued.
Kotak Institutional Equities on Dixon Technologies
Kotak Institutional Equities has issued a buy rating on Dixon Technologies with a target price of Rs 15,200. Analysts stated that the company's Q4FY26 results were 22% ahead of modest expectations, driven by strong performance in the consumer electronics segment and higher average selling prices in the mobile segment due to a memory price increase. For FY27, the company has guided for flat volumes due to weak industry demand and a two-quarter delay in display assembly commissioning (now expected by Q4FY27), both of which are negative. On the positive side, management indicated that the Vivo deal is near closure and that mobile PLI 2.0 is likely to be announced soon. Analysts have lowered their estimates by 7-13% for FY27-28, factoring in a one-quarter lag in the Vivo joint venture's contribution, flat smartphone volumes, and a delay in entry into display fabrication.
Citigroup on Max Financial Services
Citigroup has maintained a buy rating on Max Financial Services with a target price of Rs 2,725, up from Rs 2,675 earlier. Analysts said the company reported another strong quarter with sequential margin improvement, driven by higher operating leverage benefits and a likely narrowing of the drag from ITC. The positive operating variance provides comfort on the back book, and persistency trends held up well across buckets. They expect growth trajectory to sustain at a level higher than the industry average for private players. While investor interest in the proposed qualified institutional placement (QIP) remains monitorable, the stock's valuation remains benign.
Macquarie on Berger Paints
Macquarie has maintained an underperform rating on Berger Paints with a target price of Rs 395. Analysts noted that in Q4FY26, the company beat its EBITDA estimates and provided a constructive growth outlook. Management is confident of maintaining standalone EBITDA margin in the 15-17% range for FY27. They expect limited volume impact from price hikes due to a favorable base and see value growth ahead of volume growth momentum in FY27.
Jefferies on Sagility
Jefferies has maintained a buy rating on Sagility with a target price of Rs 54, marginally up from Rs 53 earlier. Analysts said the company's hunting and mining engines are working well. While revenues beat estimates, margins and profits missed estimates due to one-time bonus and higher tax provisions. The growth outlook remains strong given healthy new account additions, double-digit growth in top accounts, and cross-sell synergies with Broadpath.
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