Motilal Oswal shared its outlook on consumer companies and the capital goods sector for the third quarter, while HSBC Securities expects improved Ebitda margins for household durable companies.

Emkay initiated coverage on Metro Brands Ltd. with a ‘buy’ call, and Citi remained bullish on Marico Ltd., while holding ‘sell’ over Dabur India Ltd.

Goldman Sachs predicts Godrej Consumer Products Ltd. to return to being the fastest growing FMCG company in their coverage in fiscal 2026.

NDTV Profit tracks what the brokerages are putting out on stocks and sectors. Here are the top calls from analysts you need to know about on Monday: 

Motilal Oswal On Q3 Consumer Firms Preview

  • Staple companies to see muted quarter amid sluggish urban demand, high palm oil prices.

  • Liquor companies expected to clock strong growth.

  • Innerwear firms to see growth on positive demand trends in festive season.

  • QSR companies to see 18% growth in revenue and 14% growth in Ebitda.

  • Paint firms to be impacted by delayed monsoon, early festive.

  • Paint segment to post decline of 1% in revenue and 12% in Ebitda.

  • Expects Q3 outliers to be Marico Ltd., United Spirits, Jubilant Foodworks Ltd., Kalyan Jewelers (India) Ltd., PN Gadgil Jewellers Ltd.

  • Likely Q3 underperformers: Asian Paints, Indigo Paint, GCPL, Hindustan Unilever Ltd., Dabur India Ltd.

  • Brokerage continues to like HUL, GCPL, Dabur despite near-term soft earnings.

  • Constructive on Jubilant, United Spirits, on business improvement, but neutral on rich valuations.

Goldman Sachs On Godrej Consumer Products

  • Maintained ‘buy’ with a target price of Rs 1,370 per share, indicating a potential upside of 25%.

  • See headwinds from higher palm oil prices and weak home insecticides demand.

  • Expecting recovery in the final quarter of the fiscal.

  • Expects Ebitda margins to sequentially recover over the next two to three quarters.

  • Poised to return to being the fastest growing FMCG company in the brokerage’s coverage in fiscal 2026.

Citi On Dabur India

  • Citi maintained a ‘sell’ on Dabur India, cut target price to Rs 510 apiece versus Rs 520 earlier, implying a 3% downside potential.

  • Q3 updates suggest low-single digit consolidated revenue growth in the quarter.

  • Expects 2.5% annual revenue growth in the third quarter.

  • Healthcare and beverage segment to drag India business in the quarter in question.

  • International business may report double digit growth.

  • Believe inflationary input costs, weak demand will pressure Q3 gross margins.

  • Brokerage trims FY25-27 earnings estimates by 1-3%.

Motilal Oswal On Q3 Capital Goods Preview

  • Capital goods sector stocks declined last six months on order inflow concerns.

  • Expectations line up for inflow revival in the fourth quarter.

  • Strong existing order books provide healthy revenue visibility.

  • Expects 19% year-on-year growth in execution for the third quarter.

  • Expects nearly 20 basis points year-on-year expansion in Ebitda margin for coverage universe.

  • Estimates revenue and PAT growth of 19% and 26%, respectively year-on-year for coverage companies.

  • Top picks: ABB Ltd., Larsen & Toubro Ltd., and Bharat Electronics Ltd.

Citi On Marico

  • Citi maintained ‘buy’ on Marico with Rs 750 per share as target price, indicating a potential 13% upside.

  • Q3 update suggests mid-teen revenue growth due to volume growth, price increases.

  • Expects 14% annual revenue growth in Q3, margins to be at 20%.

  • Marico to see less pressure from demand slowdown in urban, given potential benefits from initiatives.

  • Expect company’s profitability to be under pressure due to input cost inflation.

Emkay On Metro Brands

  • Initiated a ‘buy’ with a target price of Rs 1,500 per share, implying an upside potential of 18%.

  • Target implies multiple of 70 times the earnings per share value of December 2026.

  • Remains a platform of choice for third-party brands looking to enter India.

  • Offers a multi-decade opportunity of double-digit growth.

  • Has potential to achieve four times the topline in the coming decade.

  • Deserves superlative valuation because of best possible growth longevity.

  • Has strong free cash flow generation.

Goldman Sachs On Kotak Mahindra Bank

  • Departure of CTO is important, could weigh stock performance.

  • Bank has put in place interim organisation structure to ensure business doesn’t get impacted.

  • Long-term view on the stock remains constructive despite short-term bottlenecks.

Nuvama On SBI Cards 

  • Nuvama upgraded SBI Cards to ‘buy’ from ‘reduce’ and increased target to Rs 850 versus Rs 620 earlier, indicating a 17.5% upside potential.

  • Upgraded rating on improving credit cost outlook.

  • Credit costs, a key driver of frequent earnings miss, likely peaked in the second quarter.

  • Expects credit cost to remain stable in the third quarter, and improve from the fourth quarter.

  • Expects credit cost trajectory to improve on weak credit cycle set in earlier than peers.

  • Negative impact of regulatory changes are now fully captured.

  • Key positive trigger could be potential rate cuts by the RBI.

    Note: Credit costs is the amount spent to maintain credit quality.

HSBC On Household Durables

  • Expects some moderation in revenue growth rates in the third quarter versus the second.

  • Demand conditions in festive periods for relevant categories (appliances) decent.

  • However demand has been soft post the festive season.

  • Air conditioners category continues to witness strong growth.

  • Expects sharp Ebitda margin improvement for all three covered companies.

  • Retained ‘buy’ on Havells India Ltd., with a target price of Rs 2,050, implying a 20.5% potential upside.

  • Prefers Havells going into Q3 results.

  • Retained ‘buy’ on Crompton Greaves, with a revised target price of Rs 470 versus Rs 500, implying a potential 26.3% upside.

  • Retained ‘hold’ on Voltas Ltd., with a revised target price of Rs 1,850 versus Rs 1,780 per share, indicating a potential upside of 0.8%.

. Read more on Markets by NDTV Profit.Here are the top calls from Citi, Motilal Oswal, Goldman Sachs, and other analysts you need to know about on Monday.  Read MoreMarkets, Business, Notifications 

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