Fri Oct 18 04:42:05 UTC 2024: ## Brokerage Calls: Infosys, Axis Bank Shine, Manappuram Faces Downgrades

**Mumbai, India** – Following the release of September quarter earnings, brokerages have issued ratings and target prices for several companies.

**Infosys and Axis Bank** emerged as the top performers, with analysts highlighting their strong growth and profitability. Infosys’s double-digit sequential rise in small deals and 2.3% organic growth exceeding rivals TCS and HCLTech led to an “outperform” rating from multiple brokerages. Axis Bank saw improvements in credit costs, non-interest income, and asset quality, earning it a “buy” recommendation.

However, **Manappuram Finance** faced downgrades due to the Reserve Bank of India’s (RBI) restrictions on its subsidiary, Asirvad Microfinance. The restrictions, impacting 27% of Manappuram’s assets under management, are expected to hurt earnings and require capital infusion from the parent company.

**Other notable calls:**

* **Wipro:** Despite strong deal wins, the muted revenue guidance for the December quarter led to a “hold” rating with a cautious outlook on the turnaround.
* **Tata Chemicals:** Earnings were in line with estimates, but concerns regarding rising Chinese production and adverse weather conditions impacting Indian operations led to a “neutral” rating.
* **Wipro:** The company exceeded revenue and margin estimates, but the lack of a strong revenue guidance for the December quarter led to a “hold” rating.
* **Tata Chemicals:** Earnings were in line with estimates, but concerns regarding rising Chinese production and adverse weather conditions impacting Indian operations led to a “neutral” rating.

Overall, the brokerage calls highlight the mixed outlook for the Indian market, with strong performers like Infosys and Axis Bank contrasting with companies like Manappuram that face significant challenges.

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