Equity benchmarks remained directionless in noon trade with the Nifty gyrating in 40 points range.
CLSA on Voltas: The brokerage house has maintained selling rating on the stock but slashed target price to Rs 305 (from Rs 345) on the AC business.
It also cuts FY17/18 EPS estimates by 2-5 percent with potential downside risks, depending on how end-user demand pans out after things settle down in a few months.
Voltas’ fiscal Q2 revenue declined 7 percent YoY and Ebit fell 4 percent, led by weak execution in MEP and Engineering products segments. Unitary cooling products (UCP) segment saw 20 percent Ebit growth on a low base and we note that it was still below 2QFY15 numbers.
