Motilal Oswal keeps Neutral rating on Tata Capital, Cipla and ACC

what happened

Motilal Oswal analysts kept Neutral ratings on three Indian companies after they reported second-quarter FY27 results. The information comes from TradingView, which cites this brokerage's research reports.

Tata Capital's consolidated profit after minority interests rose 51% year on year to INR16.6 billion, in line with expectations. Net interest income grew 23%, and annualized credit costs fell to 0.85%. The target price is INR340, based on 2.2 times forecast September 2028 price-to-book value.

Cipla's revenue was broadly in line with forecasts, while EBITDA beat expectations by about 5% thanks to a higher gross margin. The INR1,450 target is based on 22 times 12-month forward earnings. The broker said the current valuation leaves limited room for gains.

ACC's revenue fell about 5% and EBITDA dropped 54% year on year to INR3.7 billion. The INR1,170 target is based on 7.0 times FY28 enterprise value to EBITDA.

why it matters

For investors, this is a neutral signal: the broker sees no strong growth case after the recent revaluation. For ACC and Cipla, revenue and margins drive the shares, while for Tata Capital credit costs and bank profit growth remain the key factors.

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