Analysts are expressing caution about SBI Cards, while Nomura has raised its target price for Bharti Airtel.

In the automotive sector, Nomura has issued a neutral call on Maruti Suzuki, setting a target price of ₹12,455 per share. Concerns about weaker demand persist, with expectations of high discounts continuing in the near term. However, an improving CNG mix and rising average selling prices are seen as positive factors.

Management anticipates a 14% year-on-year increase in festive season sales, with retail growth projected at 3-4% year-on-year for FY25. Inventory levels are expected to decrease to 30 days by the end of the festive season, potentially alleviating discount pressures in Q3. HSBC has also placed a hold call on Maruti Suzuki, with a target price of ₹14,000 per share. The firm noted that Q2 margins were adversely affected by a weak demand environment and high discounting, with Q3 likely to be even more challenging. However, they expect business normalization by FY26 due to improved demand and new product launches, while also highlighting that current valuations appear reasonable. The potential for a hybrid tax cut is identified as an upside risk for the company.