JPMorgan initiated coverage on Cholamandalam Investment with an underweight rating and a target price of Rs 600. The stock closed at Rs 786 on 29 August. The global investment bank expects earnings to disappoint over FY23/24. There is competition from banks that can drive margin compression, said the note. It believes that markets have ascribed a significant valuation premium to the stock.
Why FIIs are dumping bluechips to hunt small & midcaps
Foreign institutional investors are shifting their focus from India’s top blue-chip stocks to a wider array of mid- and small-cap companies. This strategic repositioning is