Hot Stocks: Brokerage view on Container Corp, Bharti Airtel, Kewal Kiran and Tata Elxsi

We have collated a list of recommendations from top brokerage firms from ETNow and other sources:

JPMorgan on India IT: De-rating potential seen in Tata Elxsi, KPIT, Persistent, and L&T Tech
JPMorgan sees de-rating across some of the IT companies such as Tata Elxsi (Target Rs 4600), L&T Tech (Target Rs 2900), Persistent Systems (Target Rs 4100), and KPIT Technologies (Target Rs 540).

The global investment bank believes that the ER&D spending slowdown seen over the last six months is structural and not cyclical.

Channel checks suggest that there is no urgency amongst enterprises to spend on these areas.

Reopening (post-Covid) requires less need for spending on connected and smart products.

The global investment bank believes that this puts the high-teen revenue growth assumptions over the next decade priced into current stock valuations at risk.Macquarie on Container Corp: Neutral| Target Rs 620
Macquarie remained neutral on Container Corp with a target price of Rs 620. Volumes were a tad weaker than expected in the Q1 update released by the company.

CONCOR regains some market share, but growth lags Adani Rail.

CLSA on Bharti Airtel: Buy| Target Rs 1030
CLSA maintained a buy rating on Bharti Airtel with a target price of Rs 1030. India’s cloud market of US $6 bn is likely to triple in five years to US $17.8 bn.

Airtel has been boosting capabilities in cloud services with a growing partnership. The cloud & data centres will boost ‘Airtel Business’ growth and add to further upside potential.

Antique on Kewal Kiran Clothing: Buy| Target Rs 805
Antique initiated a buy rating for Kewal Kiran Clothing with a target price of Rs 805. Brand extensions and category expansion reinforce its core positioning. Accelerated store expansion is likely to drive growth.

The balance sheet remains healthy. The global investment bank expects a re-rating in the stock valuation.

It sees accelerated retail expansion at 20% CAGR compared to 11% in the last 5 years.

(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)