Analysts Issue Fresh Stock Recommendations Across Sectors
In a series of recent reports, leading financial institutions have updated their ratings and target prices for several key Indian companies, providing insights into market trends and sectoral performance.
Shriram Finance: Jefferies Maintains Buy with Rs 1,220 Target
Jefferies has reiterated its buy rating on Shriram Finance, setting a target price of Rs 1,220. Analysts highlighted that interactions with management indicate commercial vehicle (CV) demand remains robust, including for used vehicles. The company has reaffirmed its guidance for 18-20% assets under management (AUM) growth for FY27-28. Cost of finance is projected to decrease by 80 basis points (bps), potentially lifting spreads by approximately 20-25 bps by FY28. Collections have been strong so far, with expectations for AUM growth to improve to 18% in FY27 as new CV disbursements accelerate. Net interest margins are anticipated to expand and could deliver positive surprises.
Nykaa: Macquarie Assigns Underperform Rating
Macquarie has issued an underperform rating on Nykaa, with a target price of Rs 210. Analysts noted that Nykaa's beauty segment performance has been driven by stronger growth in beauty brands, particularly the Dot & Key skincare portfolio. However, they expressed skepticism about the ability to replicate this success with third-party brands on Nykaa.com or mirror Dot & Key's growth strategy with other owned brands.
Interglobe Aviation (Indigo): JP Morgan Cautious with Neutral Stance
JP Morgan maintains a neutral rating on Interglobe Aviation (Indigo), with a target price of Rs 4,630. Analysts remain cautious due to ongoing headwinds from fuel and non-fuel costs. They see limited scope for yield increases as domestic air traffic remains tepid and international traffic moderates. Jet fuel prices began rising in February 2026, even before recent geopolitical tensions, and non-fuel costs are expected to stay elevated due to rupee weakness. Domestic air traffic growth slowed from 4.4% year-on-year in January 2026 to nil in February 2026, while international traffic grew 6.5% and 2% in January and February 2026, respectively. JP Morgan has cut FY26/27 earnings per share (EPS) estimates by 13%/14% to account for higher fuel costs, with a modest 4% EPS reduction expected in FY28 as oil prices moderate.
Pine Labs: UBS Initiates Coverage with Rs 250 Target
UBS has initiated coverage on Pine Labs with a target price of Rs 250. Analysts described the company as a leading B2B payment platform serving large enterprises, with an enterprise-led annuity base and scalable monetization. Affordability is seen as a key driver for incremental growth and margin expansion. Pine Labs trades at approximately a 45% discount to Paytm on FY28 expected economic value/earnings before interest and taxes (EV/EBIT), which UBS views as unjustified given its superior profitability and the challenges of scaling a B2B payments franchise compared to B2C models.
Orkla India: Citigroup Initiates Buy with Rs 750 Target
Citigroup has initiated a buy rating on Orkla India, setting a target price of Rs 750. Analysts identified the company as a significant player in the food & beverages (F&B) sector, operating across categories such as pure and blended spices, convenience packaged food, and ready-to-eat products under the MTR and Eastern brands. Orkla India is the market leader in spices in Karnataka and Kerala, with a strong presence in Andhra Pradesh and Telangana, supported by hyper-local brand building, deep distribution, and culturally resonant products. The positive outlook is underpinned by strong category tailwinds, market leadership in South India, and effective execution of portfolio expansion and channel diversification. Analysts expect margin expansion driven by favorable product mix and operational efficiencies, though key risks include commodity price volatility, concentration in South India, and competition from regional players.
Disclaimer: Recommendations and views on the stock market, other asset classes, or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India.
