Morgan Stanley has initiated its coverage of Mahanagar Gas with an ‘overweight’ rating and a target price of Rs 1,606 (+26%). Analysts feel with Mumbai’s ever-expanding need for natural gas that the company facilitates, it’s both MGL and Mumbai’s ‘Tesla-like moment’ for gas adoption. They believe MGL’s margin would be lower but volume growth will be structurally higher, which is the key to re-rating the stock.Macquarie has an ‘underperform’ rating on United Spirits with a target price of Rs 1,175 (-17%). The company’s incumbent CEO has resigned, paving the way for a new person to take charge. Analysts believe a smooth transition at the top is the key to watch out for.Elara Securities India has a ‘sell’ recommendation on HCL Technologies with a target price of Rs 1,570 (-14%). Analysts favour HCL Tech as the addressable market for all its three businesses offers a smooth runway to growth. They feel the current stock price largely captures any revenue growth recovery and positive business sentiments in the medium term. Hence, they do not see any meaningful upside from the current level, as valuations are rich.Emkay Global Financial Services initiated coverage on Dixon Technologies with a ‘buy’ rating and a target price of Rs 20,000 (+23%). Analysts believe there are multiple enduring mid-to-long term drivers for the company yet to kick-in. Among those are further domination of the rising smartphone and IT hardware manufacturing and assembly opportunities, and sharp margin improvement.Anand Rathi Share & Stock Brokers has initiated its coverage of Aster DM Healthcare with a ‘buy’ recommendation and a target price of Rs 630 (+26%). Analysts expect the company to see strong growth going forward due several factors which include synergetic benefits from the merger with Quality Care, backing of marquee PE investors like Blackstone and combined entity scale of operations and healthy profitability and return indicators.
Stocks on brokerages’ radar for January 15
