Share Market Highlights 24 April 2025: Sensex, Nifty snap 7-day rally on profit-taking, weak HUL earnings
Citi On Divis
Buy, TP raised to Rs 7050
Divis has high potential to become primary supplier given capacity addition
Orforglipron, Eli Lilly’s potential best-in-class oral GLP-1, is next addition in DIVI’s pipeline
Capacity: current 300 Mt+ planned intermediaries of capacity
Proposed capacity 18 MT+ Capacity for peptide GLP 1
Expect more round of capex with scale up in products
Have forecasted $ 800mn +GLP1 revenues for Divis by 2030 E
Divis is the top pharma pick
Nomura on Anant Raj
Buy, TP cut to Rs 700 on reduced fund raising visibility
Still attractive despite a more conservative stance on data center segment
EPS CAGR of +40% over FY26-27F
DC capacity at 28MW IT load by 1QFY26F (vs 6MW currently)
Internal accruals to fund 50% of capex requirement; peak net/debt to equity under 0.5x if co goes through loan route (instead of QIP)
Robust residential launch pipeline for FY26F of 3.1msf with total GDV of RsR60bn
Nomura On LTIMindtree
Neutral Call, Target Price At Rs4,300/Sh
Q4 Modest Miss In Revenue; Margin In-line
FY26 Likely To Be A ‘Repair’ Year
New CEO Shared A Strategy Based On Sales Transformation, Revamping Large Deal Organisation Becoming ‘Fit To Future’
Margin Recovery Expected To Be Slow; Improvement Hinges On A Sharp Growth Revival
FY26–27 EPS Cut By 2%
Citi On Tata Consumer
Buy Call, Target Price At Rs1,325/Sh
Q4 In-line; Margin Recovery Likely In H2 FY26
Growth Businesses (28% Of Revenue) Grew 18% YoY (Organic) In FY25
Starbucks Revenue Rose Approx 6% In Q4; 6 New Stores Added, Total Now 479 Across 80 Cities
Company’s Growth Trajectory Remains Intact, Led By Strong Core Segments & New Category Expansion
CLSA On Tata Consumer
Hold Call, Target Price At Rs1,044/Sh
Q4 Net Sales Up 17% YoY (12% Organic), Broadly In-line
Gross Profit In-line; Gross Margin Missed By 50 bps Due To High Input Costs
EBITDA Below Estimates Due To Higher Other Expenses
FY26–27 EBITDA Cut By 0–1%; Adjusted PAT Raised By 4% On Lower Finance Costs
Jefferies On Tata Consumer
Hold Call, Target Price At Rs1,100/Sh
High Cost Inflation, Especially In Tea, Continued To Weigh On Margin
EBITDA Slightly Reduced Despite Strong Revenue Growth (India UVG Approx 6%)
Growth Portfolio Contribution Rose, Partly Due To M&A
Stock Up 24% YTD; Valuation Now At 70x FY26 PE Ratio, Leading To Downgrade
Nomura On Tata Consumer
Buy Call, Target Price At Rs1,300/Sh
Core Business Grew In Double Digits, Supported By Price Hikes; This Trend Is Expected To Continue Through FY26.
Growth Business Grew 24% Organically & 66% Including Acquisitions
OPM Is On An Improving Trend; Forecast 13%/18% EBITDA/EPS CAGR Over FY25–28
Stock Trades At 55x FY27 EPS
HSBC On Bajaj Housing Finance
Reduce Call, Target Price At Rs100/Sh
Q4FY24 AUM Growth Was Healthy; However, High Cost Ratio & Yield Compression Due To Competition Were Drags
Expect EPS Growth To Slow Due To Pressure On AUM Growth, NIM Compression, & Normalisation Of Credit Costs
Cut FY26–27 EPS Estimates By 2.8–3.1%
MS On Bajaj Finance
Overweight Call, Target Price At Rs10,500/Sh
BHFL Reports PBT Growth Of 1% QoQ & PAT Growth Of 7% QoQ
For Bajaj Finance, Forecasted PBT To Be Up 4.7% QoQ & PAT To Rise 4.2% QoQ
Management Notes That In The Event Of A 75 bps Cumulative Rate Cut
Management Notes No Change In Loan Mix, Loan Spreads For FY26 Could Compress By 10–15 bps YoY
MS On Can Fin Homes
Overweight Call, Target Price At Rs800/Sh
Profit Of Rs240 Cr 8% Above Estimates
PPOP 1% Above Estimates; Lower Tax Rate Drove The PAT Beat
Loan Growth Stood At 9% YoY & 3% QoQ.
Disbursements Of Rs2,460 Cr, In-line With Guidance
Management Outlook On FY26 Loan Growth Is Key
MS On Dalmia Bharat
Underweight Call, Target Price At Rs1,650/Sh
Q4FY25 Slightly Weaker Than Expected
Net Revenue Of Rs4,090 Cr Was 6% Below Estimates
VolumeWeak, Down 3% YoY Vs Expectation Of Up 3% YoY
Realisation Also Below Expectation
Weak Pricing Trends In The Southern Region Weighed On Overall Blended Pricing
EBITDA/t At Rs926/t, Below Estimates Of Rs936/t
Net Debt/EBITDA Improved To 0.30x From 0.55x In Q3
