Kamal Ghorui
Morgan Stanley maintained equal-weight on Dr Reddy’s Labs with the target price at Rs 1,215 (against Rs 1,259 earlier). Analysts said the company’s Jan-March (Q4FY26) adjusted revenue and earnings before interest, taxes, depreciation, and amortisation (EBITDA) missed estimates by 2% and 13% respectively. Semaglutide ramp-up slightly delayed due to Brazil approval delay. The management expects 6-7 million pen sales in CY26 and over 40 million capacity in FY28. The company’s US business is stabilizing post gRevlimid with double-digit FY27 growth guidance in place. They also said that execution risks and weak US generics backdrop could keep margin outlook subdued. Kotak Institutional Equities have a buy on Dixon Technologies with the target price at Rs 15,200. Analysts said the company’s Q4FY26 numbers came in 22% ahead of modest expectation, driven by strong performance in the consumer electronics segment and higher ASP 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 display assembly commissioning by Q4FY27 (a two-quarter delay), both of which are negative. On the other hand, the management indicated that the Vivo deal is near closure and mobile PLI 2.0 is likely to be announced soon. Analysts lowered their estimates by 7-13% for FY27-28, factoring in a one-quarter lag in Vivo JV’s contribution, flat smartphone volumes and a delay in entry into display fab. Citigroup has a buy rating on Max Financial with the target price at Rs 2,725, from Rs 2,675 earlier. Analysts said the company reported another strong quarter with quarter-on-quarter margin improvement, led by higher operating leverage benefits and likely narrowing of ITC-led drag. They said its positive operating variance provides comfort on back book, and persistency trends held up well across buckets. They expect growth trajectory to sustain at higher than industry level for private players. While investor interest in the proposed QIP remains monitorable, the stock’s valuation remains benign. Macquarie has an underperform rating on Berger Paints with the target price at Rs 395. Analysts said in Q4FY26 the company beat its EBITDA estimates and came out with a constructive growth outlook. The management is confident of maintaining standalone FY27 EBITDA margin in the 15-17% range. They said the company expects limited volume impact from price hikes given a favourable base, and sees FY27 value growth ahead of volume growth momentum. Jefferies has a buy rating on Sagility with the target price at Rs 54, up marginally from Rs 53 earlier. Analysts said the company’s hunting and mining engines are working well. They pointed out that while the company’s revenues beat estimates, margins and profits missed estimates due to one-time bonus and higher tax provisions. They said the company’s growth outlook remains strong given healthy new account additions, double-digit growth in top-accounts and cross-sell synergies with Broadpath.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India)
