Reuters Market Eye - Citigroup has downgraded Cummins India(NSI:CUMMINSIND) to "sell" from "neutral" and cut the price target to 377 rupees from 410 rupees, noting that its shares rallied in the last month despite a difficult operating environment.
Citigroup says power demand in India has eased since November 2012, while diesel prices have risen, posing a challenge for the diesel engine maker.
"Given the tougher operating environment, we would not be surprised if this guidance gets revised downwards," Citi said in a note to its clients.
(Reporting by Indulal PM)
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