Brokerage Firm Downgrades and Upgrades: A Closer Look

CLSA has revised its stance on Tata Motors, downgrading it to 'outperform' from 'high conviction outperform' and reducing the target price to Rs 765 from Rs 930. Concerns include potential drops in JLR volumes due to US tariffs and Jaguar model cuts, alongside expected declines in EBIT margins for the upcoming fiscal years. Despite this, positive free cash flow is anticipated.

AB Fashion: A Sell Call by Citigroup

Citigroup advises a 'sell' on AB Fashion, setting a target price of Rs 260. The firm anticipates no mergers, acquisitions, or fundraising activities in the near future, with management focusing on profitability over growth. The goal to become debt-free in 2-3 years is noted, yet demand trends show no signs of improvement, posing risks to growth and profitability.

Banking Sector Updates

UBS has downgraded IndusInd Bank to 'sell', lowering the target price to Rs 600 from Rs 770, citing concerns over deposits, CEO, and forex derivatives positions. Conversely, Jefferies recommends a 'buy' for HDFC Bank with a target price of Rs 2,120, highlighting strong loan and deposit growth. Morgan Stanley, however, calls Bank of Baroda 'underweight' with a Rs 215 target, awaiting margin progression details.

Disclaimer: The opinions and recommendations are those of the brokerage firms and not of The Times of India. Consult a financial advisor before making investment decisions.