HSBC has maintained its Overweight rating on Maruti Suzuki India Limited (MSIL IN) in its recent flashnote on the company dated January 25, 2013.
HSBC maintains its OW rating after Maruti Suzuki India reported in-line 3Q13 financial results. The Strong EPS upgrades on favourable currency is also a key to its rating.
The report said concerns on the pace of demand revival remain, but in the near term the stock should be driven by a favourable currency movement (+20% FY14 EPS accretion from JPY).
HSBC remains Overweight and raises its FY14e EPS by 17% and DCF-based target price to INR1,820 from INR1,600.