BofA Securities has a neutral rating on PB Fintech (Policybazar) with the target price of Rs 1,980. Analysts said that the company’s management sees no GST-led negative impact on health and term policies, some impact on savings business but they’re working to address the same in the next 3-6 months. Most insurer contracts on combined operating ratio. They said that with lower operating expense and better claims ratio, PB is better placed to negotiate with insurance companies. PB is focused on driving healthy growth, they said.Jefferies has a buy on Chalet Hotels with the target price at Rs 1,070. Analyst said that the company reaffirmed its metro dominance at its analyst meet, citing institutional partnerships, mixed-use expertise and industry-leading execution. The hospitality company is focused on ‘Big Box’ city assets and leisure properties, complemented by selective commercial real estate. Since listing, Chalet has added 1,050+ keys and has another 1,180 in the pipeline. The company prefers to balance brand tie-ups with a selective rollout of ATHIVA, its new upper-upscale brand tailored to each property’s potential.CLSA has an outperform rating on Hindalco with the target price raised to Rs 965. Analysts estimate that even at an LME price of $2,600 (spot $2,850), ongoing capacity and margin expansion initiatives could double earnings before interest, taxes, depreciation, and amortisation (EBITDA) in the next five years, with significant free cash flow generation in the back half. They said in the near term, concerns at Novelis (capex escalation and fire in a plant) are likely to be offset by strong aluminium price outlook. The management was constructive on aluminium price outlook, they said. The company’s capacity addition in Indonesia (as China approaches its ceiling of 45 metric tonne) could face challenges on power availability. They also said that the demand is resilient.Citigroup has upgraded HDFC AM to neutral from sell with the target price raised to Rs 2,850. Analysts upgrade the stock on a number of factors. For one, the fund house shows sustained strength in performance across most key actively-managed high-yielding categories. It has an elevated focus on scaling up non-MF businesses. Also, there’s limited visibility of any near-term regulatory overhang. On the other hand, elevated competitive pressure and reducing distribution moats for incumbents remain the key concerns.Macquarie has an outperform rating on ITC with the target price at Rs 500. Analysts believe concerns on high per-stick taxes shared in draft excise document are misplaced, as such rates represent the cap and not the applicable rates. They see potential moderation in discounting post move to GST as a percentage of retail price, and moderation in leaf tobacco costs driving 10%+ FY27 EBIT growth in cigarette business. Analysts raised ITC’s earnings per share estimates and target price by 2% and 4%, respectively, to factor in these tailwinds. They also believe a re-rating needs clarity that cigarette tax will not increase materially post levy of a new cess.
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