Buy Motherson Sumi, Repco Home Finance, PNC infratech for upside of up to 44%, say brokerages

Brokerages HDFC Securities and Chola Securitas are bullish on PNC infratech, Motherson Sumi Systems and Repco Home Finance. They see an upside of up to 44% in these stocks in one year. They have reduced target prices of two PNC infra and Repco Home Finance, while Chola Securities revised the rating of Motherson Sumi 

Repco Home Finance | Target Price: Rs 328 

HDFC Securities have downgraded the target price of this stock. Maintaining 'add' rating, the brokerage sees a target of Rs 328 for this share. It has downgraded target price, previously Rs 372, due to sub-par performance in the quarter ended December 31 due to elevated credit costs and muted loan growth. At CMP of Rs 237, the upside in this housing finance company turns out to be 37%, around 44 % on today's low of Rs 228.10 per equity share. 

PNC Infratech | Target Price: 412  

See Zee Business Live TV Streaming Below:

HDFC Securities reduced target price of PNC Infratech from Rs 420 to Rs 412 a share, stating that the infra company reported muted quarter. It says it has cut down target price as order inflow of PNC Infratech remained tepid in FYTD 22. Given a strong OB and a comfortable balance sheet, it maintained a buy rating with reduced target price. On today's low of Rs 267.50, the upside translates into 44%.  

Motherson Sumi Systems | Target Price: Rs 186 

Revising the rating from 'market performer' to 'out performer', Chola Securities believes the auto ancillary maker stock can hit a target price of Rs 186 in 12 months. This turns out to be an appreciation of 11% on CMP of Rs 167 and over 20% on today's low of Rs 153.55 on the BSE. The brokerage says continuance in RM cost inflation & other supply chain disruptions are likely to dampen MSSL’s revenue and profitability in near-term. "But MSSL has insulted itself via passthrough of cost & diversification strategy. The robust order book, strong global PV demand & marginally improved situation at semi-conductor issue will aid the performance in coming quarters," it added.  

Key risk remains sustained slowdown in domestic and global PV sales, adverse EUR/INR movement & slower than expected improvements in new plants.