Several prominent global brokerage firms have released optimistic coverage reports on major Indian companies, highlighting strong growth potential across sectors including consumer electronics, energy, healthcare, and banking.
LG Electronics India: A Play on Discretionary Spending
Jefferies has initiated coverage of LG Electronics India with a buy rating and target price of Rs 1,900. Analysts view the company as a strong beneficiary of India's growing discretionary spending, citing its diversified product portfolio.
The company enjoys significant competitive advantages through market leadership in multiple product categories, premium brand recognition, and continuous new product launches. Its entrenched distribution network and backward integration contribute to industry-leading margins and high return ratios.
Jefferies also noted that LG Electronics India's strong cash position on the balance sheet provides ample support for future growth initiatives.
Reliance Industries: Positive Outlook Through 2026
JP Morgan has maintained its overweight rating on Reliance Industries while increasing the target price to Rs 1,727 from Rs 1,695. This comes despite the stock already delivering impressive returns.
RIL shares have surged 27% this year, significantly outperforming the Nifty's 17% gain. JP Morgan remains optimistic about the stock through 2026 for three key reasons.
Firstly, Reliance's valuations remain attractive compared to peers like DMart and Bharti Airtel, trading at approximately 15% holding company discount. Secondly, the earnings drag from weak refining and petrochemical businesses through FY24 and FY25 has ended. Thirdly, forecasted earnings growth appears substantially stronger.
The brokerage highlighted that RIL's current refining strength could potentially drive further upgrades. Key catalysts expected in 2026 include the Jio IPO, potential tariff increases, commissioning of new energy segments, and more stable retail growth.
Healthcare and Banking Sectors Show Strength
Citigroup has assigned a buy rating on Max Healthcare Institute with a target price of Rs 1,460. Following management meetings, analysts reported positive developments including expectations of strong growth trajectory driven by rising occupancy rates, improving case mix, and enhanced profitability at Dwarka and Noida facilities.
The issue regarding cashless facilities with insurance companies has been fully resolved with forward tariff corrections. The recent CGHS price revision is expected to provide structural improvement to average revenue per occupied bed (ARPOB) and margins, with full impact anticipated in FY27.
Max Healthcare's three major brownfield projects are scheduled for commissioning in Q3 FY26 with no expected EBITDA drag.
Macquarie has given an outperform rating on HDFC Bank with a target price of Rs 1,200. The bank has demonstrated clear growth traction following GST rate cuts, with management maintaining guidance for loan growth to outpace the system in FY27.
HDFC Bank remains well-positioned due to prudent provisioning and contingent buffers, with no major impact expected from new expected credit loss norms.
Consumer Durables and Cooling Sector Outlook
Motilal Oswal Securities has initiated coverage of Blue Star with a target price of Rs 1,950. The company's room AC market share is increasing to approximately 14%, with ambitions to reach 15% by FY27.
While near-term AC demand has softened due to mild summer conditions and GST-related delays, long-term growth prospects remain intact supported by low penetration levels and strong structural drivers.
Blue Star maintains strong leadership in commercial refrigeration and boasts a robust order book in mechanical, electrical, and plumbing (MEP) and commercial AC segments, supporting continued growth.
Analysts anticipate margin expansion through operating leverage and efficiency improvements. They project a temporary dip in unitary cooling products revenue during FY26, followed by a strong rebound. Export performance has been weak in the near term but is expected to scale up post-FY27. The stock's valuation is considered fair following recent rerating.
Disclaimer: The opinions and recommendations expressed are those of brokerage firms and do not reflect the views of this publication. Readers should consult qualified investment advisors before making investment decisions.
