Brokerage Firms Issue Bullish Calls on Key Indian Stocks
In a series of recent analyst reports, several prominent brokerage houses have initiated or reiterated buy recommendations on a diverse set of Indian companies, highlighting growth trajectories and strategic advantages across sectors.
Motilal Oswal Initiates Coverage on Jio Financial Services with Buy Rating
Motilal Oswal Securities has commenced its coverage of Jio Financial Services with a buy recommendation and a target price of Rs 320. Analysts emphasized that the company is architecting India's next-generation financial services platform by leveraging ecosystem synergies, data analytics, extensive distribution networks, and operational discipline to build a scalable finance model.
While near-term profitability may remain subdued due to the incubation phase of multiple business verticals, the groundwork being laid across technology infrastructure, strategic partnerships, and distribution channels positions Jio Financial Services for robust and scalable growth over the medium to long term.
Nuvama Recommends Buy on Jupiter Hospitals
Nuvama has assigned a buy rating on Jupiter Hospitals with a target price of Rs 1,475. Following a management meeting, analysts noted that the company anticipates monthly losses of approximately Rs 2–3 crore for a period of 1.5 to 2 years during the ramp-up phase of new operations.
Despite these near-term headwinds, the catchment area for Jupiter Hospitals remains large and significantly underpenetrated, serving a population of about 20 lakh with limited nearby competition. Unit metrics are expected to align with the performance of the Thane Hospital by the end of the second year. However, margins may face pressure from the commencement of the Dombivli hospital, presenting ongoing challenges.
CLSA Maintains Outperform Rating on ASK Auto
CLSA has reiterated an outperform rating on ASK Auto with a target price of Rs 630. Analysts suggested that the recent stock correction appears largely driven by the relative underperformance of small-cap stocks in India over the past three months, and they believe this market reaction is overdone.
ASK Auto delivered robust yearly revenue and EBITDA growth of 18% and 27%, respectively, in the third quarter, with its strong execution outlook remaining intact. This performance is supported by healthy retail two-wheeler volume run-rates. Importantly, the company faces no significant business risk from raw material inflation due to its ability to fully pass through cost increases to customers.
Jefferies Raises Target Price for Coal India
Jefferies has issued a buy rating on Coal India, raising the target price to Rs 485 from Rs 450. Analysts projected that after an anticipated 21% decline in earnings per share (EPS) over FY24 to FY26, the company's earnings trajectory is expected to improve with a 9% compounded annual growth rate (CAGR) from FY26 to FY28.
Recovery in power demand, amid expectations of an intense summer and weak monsoon rains, should boost Coal India's volumes. Additionally, higher global coal prices are likely to lift e-auction prices. Despite rising captive production in the sector, the company has broadly retained its dominant 60% share in India's coal demand.
HSBC Upgrades Glenmark Pharmaceuticals with Buy Call
HSBC has assigned a buy rating on Glenmark Pharmaceuticals, increasing the target price to Rs 2,600. Analysts highlighted that the recent FDA approval for the gFlovent 44mcg inhaler acts as a critical stepping stone for Glenmark to improve its US sales trajectory.
Learnings from the 44mcg filing are expected to help the company better navigate the FDA review process for the gFlovent 110mcg abbreviated new drug application (ANDA) in the future. The key catalyst for Glenmark will be consistent new drug approvals in the US market, which could drive significant growth.
These brokerage recommendations underscore a positive outlook on select Indian companies across financial services, healthcare, auto components, coal, and pharmaceuticals, reflecting confidence in their strategic initiatives and market positions.
