Stock Recommendations Today: Bank Of Baroda, Godrej Consumer, Paytm, On Brokerages’ Radar NDTV Profit Research NDTV Profit

Bank of Baroda’s March quarter performance is drawing mixed reactions from brokerages, with weak core numbers but steady asset quality keeping sentiment in check. 

Godrej Consumer Products Ltd. is on the radar too, as improving volumes clash with margin pressure in the fourth quarter. Meanwhile, analysts see a slow but steady climb towards profitability for One 97 Communications Ltd., the parent company of Paytm, led by distribution gains and operating leverage. 

Over at the macro level, Bank of America is turning cautious—flagging a saturated rally in the Nifty, muted earnings outlook for fiscal year 2026, and risks from geopolitical and electoral developments.

NDTV Profit tracks what analysts are saying about various stocks and sectors. Here are the key brokerage calls to watch on Wednesday.

On Bank Of Baroda

Investec 

• Retains a ‘hold’ rating on the stock and a target price of Rs 248 apiece.

• Reports a sharp miss on net interest income and core pre-provision operating profit.

• Higher treasury gains aid return on assets delivery of 1.2%.

• Asset quality remains stable.

Kotak Securities 

• Retains an ‘add’ rating on the stock and a target price of Rs 255 apiece.

• Margins disappointed slightly.

• Return ratios remained flat quarter-on-quarter as lower net interest margin was offset by higher non-interest income.

• Considers it a less worrisome quarter despite the miss on margins, though fiscal year 2026 will be tough.

• Expects a long wait for stronger numbers, but believes valuations already reflect this risk.

Nomura

• Retains a ‘buy’ rating on the stock and a target price of Rs 265 apiece.

• Calls it a weak quarter, with disappointing net interest margins.

• Loan and deposit growth remained healthy.

• Expects net interest margins to stay under pressure.

Morgan Stanley On Godrej Consumer

• Retains an ‘overweight’ rating on the stock and a target price of Rs 1,431 apiece.

• Reports improving volumes in the fourth quarter. Gross margins fell, but Ebitda beat expectations.

• Market demand conditions remained similar on a sequential basis.

• India volume growth improved sequentially.

• Household insecticides volumes grew by double digits, aided by a strong season.

• Non-soap portfolio volumes grew in high single digits.

Macquarie On Paytm

• Retains an ‘underperform’ rating on the stock and a target price of Rs 730 apiece.

• Sees the company moving towards profitability.

• Improvement in distribution revenue and operating leverage driving profitability.

• Management expects merchant discount rate on unified payments interface to improve payment revenue.

• Notes upside risks to earnings, primarily from higher distribution revenue.

UBS On CG Power

• Retains a ‘buy’ rating on the stock and a target price of Rs 930 apiece.

• Industrial margin weakness continued in the fourth quarter of fiscal year 2025.

• Capital expenditure and power business remain on track.

• Gained market share in motors despite weak industry growth, though profitability has been a challenge.

• Management expects strong global demand for power systems over the next four to five years.

Jefferies On HPCL

• Retains an ‘underperform’ rating on the stock and raises target price to Rs 315 apiece from earlier Rs 270.

• Fourth quarter saw a large beat, but valuations appear stretched.

• Refining business strong but outlook is weakening.

• Marketing segment ahead with super-normal margins, while liquefied petroleum gas losses were not compensated.

Macquarie On Kansai Nerolac Paints

• Retains a ‘neutral’ rating on the stock and a target price of Rs 255 apiece.

• Fourth quarter Ebitda missed estimates due to higher subsidiary losses.

• Sales beat was offset by weak subsidiary performance.

• Liked the market-leading growth in the automotive segment and strong performance in coatings.

Jefferies On Kajaria Ceramics

• Retains a ‘buy’ rating on the stock and lowers target price to Rs 1,120 apiece from earlier Rs 1,420.

• Closure of the plywood business dragged financial performance.

• Quarter was muted in bathware, with losses in the UK operation.

• Cut earnings per share and target price-to-earnings multiple to 30 times from 35 times.

• Now estimates 9% year-on-year volume growth in fiscal year 2026 versus double-digit earlier.

Jefferies On Polycab

• Retains a ‘buy’ rating on the stock and raises target price to Rs 7,050 apiece from earlier Rs 6,485.

• Fourth quarter beat expectations with a strong exit to fiscal year 2025.

• Continued market share gains, with organised share now at 26–27%.

• Sees no financial impact from new entrants over fiscal 2025 to 2027.

• Estimates strong sales and profit after tax compound annual growth rate at 20% and 26% respectively, driven by cables and wires, new orders and fast-moving electrical goods segment improvement.

HSBC On Avenue Supermarts

• Downgrades to ‘reduce’ from ‘hold’ and lowers target price to Rs 3,500 apiece from earlier Rs 4,500.

• Fourth quarter Ebitda missed consensus by 7% as competition impacted Ebitda margin.

• Expects overall gross margins in mature metro towns to remain soft for some time.

CLSA On Price Action

• Says M&M, Reliance Industries and Tata Consultancy Services are due for a pause or correction.

• Would not recommend chasing these stocks at current levels.

Bank Of America On India Strategy

• Says the Nifty is in the last leg of its rally and broader markets are expensive.

• Sees just 2% upside to its unchanged year-end Nifty target of 25,000.

• Expects a shallow revival and continued cuts to consensus.

• Street has already reduced fiscal year 2026 earnings estimates by 8%, and this trend is likely to continue.

• Believes markets are fully pricing in an imminent India-United States trade deal.

• Notes that markets are not pricing in potential risks from an India-Pakistan escalation or a global/United States slowdown amidst the ongoing trade war.

• With six states going to polls in the second half of fiscal year 2026, sees risk of populism re-accelerating.

• Remains bearish on small and midcap stocks.

• Continues to be bearish on momentum plays such as engineering, defense, railways, state-owned enterprises, and low-float stocks.

• Prefers large-cap over small and midcap stocks, and favours rate-cyclicals and defensives.

. Read more on Markets by NDTV Profit.Here are the top analyst calls to track this Wednesday, curated by NDTV Profit.  Read MoreMarkets, Business, Notifications 

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