Goldman Sachs has reiterated its confidence in Eicher Motors and Larsen & Toubro (L&T), citing strong growth drivers and robust performance indicators.
Meanwhile, UBS has maintained its bullish stance on Apollo Tyres, emphasizing a promising outlook despite mixed quarterly results.
Here’s a closer look at their assessments and growth prospects for these stocks. We have collated a list of recommendations from top brokerage firms from ETNow and other sources:
Goldman Sachs on Eicher Motors: Buy| Target Rs 5400: LTP Rs 4589| Upside 17%
Goldman Sachs has maintained its Buy rating on Eicher Motors with a target price of Rs 5,400, implying a potential upside of 17% from its last traded price of Rs 4,589.The companyβs Q2 performance was in line with expectations, supported by a favorable product cycle and robust demand visibility, which present an attractive risk-reward proposition.
Goldman Sachs appreciates Eicher’s new product launch cycle and the strong market response to its recently introduced models.
The company is focused on rebuilding inventory using a replenishment model, ensuring steady supply to meet demand.
Notably, the launch of the Bullet 350 Battalion Black variant has helped address concerns of declining momentum caused by customer indecisiveness, further reinforcing confidence in its growth prospects.
UBS on Apollo Tyres: Buy| Target Rs 605| LTP Rs 456| Upside 32%
UBS has maintained its buy rating on Apollo Tyres with a target price of Rs 605, indicating a significant upside of 32% from its last traded price of Rs 456. The company’s Q2FY25 performance revealed mixed results.
While the Indian operations underperformed both expectations and peers due to weak demand in the commercial vehicle (CV) segment, the European operations delivered robust growth with revenue and PBIT increasing by 6% and 19% year-on-year, respectively.
In comparison, Apollo’s standalone revenue grew by 1% year-on-year, lagging behind CEAT and MRF, which posted growth rates of 8% and 11%, respectively.
Apollo’s higher exposure to the CV segment, which experienced a notable slowdown, remains a key factor impacting its overall performance.
Goldman Sachs on L&T: Buy| Target Rs 3960| LTP Rs 3547| Upside 11%
Goldman Sachs has maintained its buy rating on Larsen & Toubro (L&T) with a target price of Rs 3,960, offering an 11% upside from the last traded price of Rs 3,547.
The company is well-positioned for a strong performance in the second half of the fiscal year, supported by its ability to sustain robust revenue growth.
L&T has secured several large hydrocarbon orders in FY24 from the Middle East, and many of these are expected to move into the execution phase from the second half of FY25 onwards, further bolstering revenue momentum.
(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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