Indian equities slipped on Wednesday after rising to record high levels in the past few sessions. Benchmark indices witnessed biggest single day decline on Wednesday since 20 May. The BSE Sensex dropped 333.93 points or 0.64% to close at 51,941.64 while the Nifty ended the session at 15,635.35, down 104.75 points or 0.67% lower. Among broader indices, the Nifty Midcap and Smallcap indices closed 0.72% and 1.35% lower, respectively. SGX Nifty indicates that Indian markets may start Thursday's session with minor gains.

Brokerage recommendations:

Max Financial Services: Prabhudas Liladher in a note on Wednesday said that with combination of strong improvement in operating performance of life insurance business, ending uncertainty on partner investment and promoters action of reducing pledge has led to re-rating in Max Financial in last three years as well as improved Max Life valuation from 1.8x EV to 2.8x EV. We believe, strong growth of 15% over FY21-FY25 and margins of 26-27% with ROEV of 20% has played out in the re-rating and should see limited upside in near term, it said.

The brokerage has retained its Accumulate rating with revised target price of Rs1,120 (from 995)

Engineers India: ICICI Securities in a note on Wednesday said that the firm has a strong balance sheet with net cash of Rs1,530 crore, despite investment in Numaligarh and buyback. RoEs are expected to trend high due to a lean balance sheet and free cash flows, which are set to be positive.

Therefore, the brokerage has a Buy rating on the stock with the target price of Rs116 per share.

VA Tech Wabag: Nomura in a note on June 8 said that the strong well-funded order book with low investment needs should allow the company to maintain net cash over FY21, 23; the execution pick-up seen in the second half of FY21 is likely to continue into FY22.

It has a Buy call on the stock with target price of Rs546 apiece.

GCPL: Motilal Oswal Financial Services on June 8 in a note said that Sudhir Sitapati’s appointment as MD and CEO for five years could have a transformational change in the fortunes of Godrej Godrej Consumer Products (GCPL). It unlocks the path to strong earnings growth for the company.

Motilal Oswal has a Buy rating on the stock with target price of Rs1,020.

InterGlobe Aviation: Post IndiGo’s Q4FY21 release, Edelweiss Securities in a result review on June 7 said that while the company reported a net loss in FY21, the brokerage believes the stock is pricing in a sharp recovery during FY22. Competing pressure will persist, even though induction of more efficient Airbus NEOs will enhance competitiveness.

Edelweiss has a Hold stance on the stock with the target price of Rs1,759 per share.