JP Morgan downgraded Bajaj Finance to neutral from overweight with the target price of Rs 970. Analysts feel the NBFC remains the best in quality among peers with the rare combination of high growth and quality. Yet, a pick-up in mortgage attrition, weakness in MSMEs and the continued weakness in some parts of the loan quality suggest possibility of negative revisions of the NBFC’s estimates.Morgan Stanley maintained its overweight rating on SBI Life Insurance with the target price at Rs 2,115. Analysts said the company’s April-June quarterly numbers showed a good performance by the life insurer. They believe the company is a preferred large cap stock with an attractive risk-reward profile. The stock has limited downside across most large caps in non-bank financials space.Macquarie maintained its neutral rating on Nestle but cut target price to Rs 2,250 from Rs 2,375. Analysts said that the company’s April-June numbers missed estimates and they see near term growth headwinds for it. According to analysts the company missed to meet its gross margin estimates and higher other expenses offset largely inline sales. Commentary suggests milk and nutrition sales are yet to recover. They see benign coffee prices hurting pricing growth in beverages going forward.Investec upgraded Torrent Pharma to buy from sell and hiked target price to Rs 4,100 from Rs 2,930. Analysts feel the company is doubling up to multi-faceted opportunities. They feel Torrent Pharma’s recent acquisition of JB Chemicals & Pharmaceuticals strengthens its position in chronic, probiotics and GI spaces in India. They expect this acquisition to be EPS accretive by FY28.Axis Capital maintained a reduce rating on Canara Bank with the target price at Rs 110. Analysts feel that the bank’s net interest margin (NIM) would continue to remain under pressure in FY26. During the past quarter, the lender’s CASA (current account, savings account) CASA ratio dipped, loan growth was driven by retail and MSMEs while its fee income was stable. They said prolonged NIM and ROA (return on assets) decay can keep valuations at risk.(Disclaimer: Recommendations and views on the stock market and other asset classes given by experts are their own. These opinions do not represent the views of The Times of India)
