Jefferies recasts model portfolio to add HDFC Bank, Eicher, Coal India

Honasa Consumer

24/11/2023 06:50

** Jefferies shifts weight in model India portfolio to HDFC
Bank  HDBK.NS  and ICICI Prudential Life  ICIR.NS  from NBFCs
after recent RBI move to increase risk weightage on personal
loans
    ** Raises HDFC Bank to neutral and adds ICIR on attractive
valuations
    ** Replaces Maruti  MRTI.NS  with and Eicher  EICH.NS ,
saying Indian 2-wheeler demand likely to grow faster than
passenger vehicles over next 2 years
    ** Adds Coal India  COAL.NS  on volume growth view, rising
power consumption
    ** Replaces Power Grid  PGRD.NS  with NTPC  NTPC.NS , citing
latter's 10% earnings per share CAGR
    ** Adds Mamaearth parent Honasa Consumer  HONA.NS  in place
of Marico  MRCO.NS  on strong earnings growth prospects
    ** With robust earnings performance, Nifty  .NSEI  is now
18.8x 1-year forward - higher than the past 10-year average, but
appears reasonable, excluding China - Jefferies

 (Reporting by Sethuraman NR)
 ((Sethuraman.NR@thomsonreuters.com; (+91 9945291420); Reuters
Messaging: nallur.sethuraman.thomsonreuters.com@reuters.net))