ICICI Securities has issued a HOLD rating on Natco Pharma with a revised target price of ₹1,000, as reported by Moneycontrol. This contrasts with Investec's recent upgrade to Buy with a target price of ₹1,220, up from ₹1,035. ICICI Securities' target is based on 18x FY28E EPS of core business and an NPV of ₹100/share for exclusive products. The mixed brokerage sentiment follows Natco's challenging Q4FY26 performance, where revenue and EBITDA declined 39.5% and 77.7% YoY to ₹7.3 billion and ₹1.3 billion respectively, primarily due to loss of exclusivity in gRevlimid. However, the company benefited from adj. PAT of ₹357 million from share of profits related to Adcock Ingram, higher treasury income, and one-time tax benefits of ₹1,150 million.
Macquarie maintains an Outperform rating on Dixon Technologies with a target price of ₹15,000, as reported by NDTV Profit. The brokerage highlights that PLI 2.0 details are emerging for mobile phones with Domestic Value Addition (DVA) requirements of more than 55% versus the current 15%-20%. PLI 2.0 will be formally linked with the ₹40,000 crore Electronics Components and Manufacturing Scheme (ECMS). According to Macquarie, PLI 2.0 will provide confidence around margin trajectory, with Dixon positioned as a key beneficiary through its joint ventures with Q Tek, HKC and Chongqing Yuhai. The company is expected to gain visibility for targeting major input costs such as batteries and PCBs through capex outlay and/or joint ventures.
Nomura highlights a decadal growth opportunity in India's data center sector, reporting that the industry is expected to record 30% CAGR over CY25-30F, as reported by NDTV Profit. The brokerage notes that India is expected to outperform the broader APAC region. Key drivers include lower capital expenditure requirements and favorable power economics supporting attractive returns. India's digital, cloud and GenAI adoption are driving demand, creating attractive opportunities for industrial equipment manufacturers. Nomura identifies CGPOWER and Ge Vernova TD as top picks to benefit from this trend.
Systematix maintains a BUY rating on NMDC with a revised target price of ₹112, citing strong FY26 execution and management guidance for 60 million tonnes production in FY27, as reported by NDTV Profit. The brokerage expects EBITDA margins to recover to 35-40% and has raised FY27E/FY28E EBITDA estimates by 10%/8% and PAT estimates by 23%/21%. Nirmal Bang initiates a Buy rating on Ather Energy with a target price of ₹1,210, expecting 42.5% volume CAGR over FY26-28E and EBITDA breakeven by FY28E. However, Axis Capital maintains a Reduce rating on Zee Entertainment with a target price of ₹80 per share, citing limited accretion to advertising and subscription revenue from FIFA broadcasting rights.
