Stock Market Live: GIFT Nifty Indicates Positive Open For Nifty, Sensex; Nikkei, Kospi Gain On US AI Rally

• Morgan Stanley retained Titan as its preferred pick in discretionary and retail.
• The brokerage expects demand momentum to remain broadly stable, while noting that some players could see an impact from a shift in the festive calendar.

• Morgan Stanley sees potential for near-term outperformance from Nestle as consumer growth momentum continues.
• The brokerage expects the market to focus on volume growth and EBITDA growth amid inflationary pressures.

• Morgan Stanley said it prefers consumer names with better medium-term growth visibility, identifying Marico and Tata Consumer among its preferred names.
• The brokerage expects growth momentum across staples to continue.

• Morgan Stanley expects the market to focus on two-year CAGR volume growth and EBITDA growth across consumer companies amid inflationary pressures.
• The brokerage expects YoY revenue growth momentum to remain strong across most players.

• Bernstein highlighted NTPC Green's growth ambitions and the backing provided by its parent capital.
• The brokerage upgraded the stock to Market-Perform with a target price of Rs 85.

• Bernstein upgraded NTPC Green to Market-Perform from Underperform and said execution misses are priced in.
• The brokerage also identified low cost of debt and grid connectivity as strengths for the company.

• Macquarie expects AERA to challenge the ruling before the Supreme Court.
• Despite the potential challenge, the brokerage said the ruling reduces downside regulatory risk and strengthens the medium-term outlook for Delhi Airport.

Hindustan Copper plans capital investment of more than Rs 7,000 crore over the next five to six years as it works to expand copper production capacity.

Hindustan Copper

• Capital investment of over Rs 7,000 crore planned over the next five to six years.
• The company is pursuing acquisition of new copper deposits in India and overseas.
• It is also focused on reopening closed mines in India.

• Macquarie said the ruling materially improves GMR Airports' position by improving recovery of actual financing and operating costs.
• The brokerage also said the ruling reduces several key regulatory overhangs.

• Goldman Sachs highlighted potential longer-term growth opportunities for Sansera Engineering as Applied Materials and LAM Research plan to expand semiconductor component sourcing from India.
• The brokerage views both entities as prospective customers and potential longer-term growth contributors.

• Leela Hotels' management reiterated confidence in its Rs 2,000 crore FY30 EBITDA ambition, according to Jefferies.
• The target implies 25% CAGR over FY26-FY30, while non-room revenues, club and wellness businesses are emerging as additional growth drivers.

• Jefferies said domestic tourism is more than offsetting foreign tourist demand for Leela Hotels as demand continues to exceed supply growth.
• The brokerage also highlighted the company's 1,100-key announced pipeline, which is skewed towards owned assets.

• Morgan Stanley flagged below-normal monsoon conditions as a potential pressure point for rural demand.
• The brokerage also sees renewed cost inflation risks for cement companies, with potential costs rising by Rs 150-200 per tonne.

• Morgan Stanley estimates cement companies could face Rs 150-200 per tonne of higher costs amid renewed cost inflation risks.
• The brokerage said companies may require a Rs 10-15 per bag price hike to offset the increase in costs.

Morgan Stanley sees renewed cost inflation risks for cement companies as the Middle East conflict continues.

Morgan Stanley

• The conflict creates a risk of a higher-for-longer cost cycle.
• Below-normal monsoon could weigh on rural demand.
• Companies could see Rs 150-200 per tonne increase in costs.
• Cement makers may require a Rs 10-15 per bag price hike.

Kotak Securities retained its Reduce rating on Indo MIM with a target price of Rs 1,110, despite identifying multiple growth vectors.

Kotak Securities

• Rating: Reduce
• Target price: Rs 1,110
• Indo MIM is executing across multiple growth vectors.
• Its leadership position and diversified offering are expected to support growth.
• Kotak Securities expects 29% PAT CAGR over FY26-31.
• Inability to win share in consumer electronics and slowing growth are key risks.

CLSA retained its Outperform rating on LG India with a target price of Rs 1,865, citing broad-based growth and continued premiumisation.

CLSA

• Rating: Outperform
• Target price: Rs 1,865
• Broad-based growth guidance has been reiterated.
• Premiumisation continues.
• Higher export profitability could become a meaningful driver of earnings and margin accretion.

Bernstein upgraded NTPC Green from Underperform to Market-Perform with a target price of Rs 85.

Bernstein

• Rating: Market-Perform versus Underperform earlier
• Target price: Rs 85
• Bernstein believes execution misses are priced in.
• Low cost of debt and grid connectivity are seen as strengths.
• The company's ambitions are backed by parent capital.

Jefferies retained its Buy rating on Polycab with a target price of Rs 11,100, citing power-sector demand as a key driver for cables and wires.

Jefferies

• Rating: Buy
• Target price: Rs 11,100
• Power is estimated to account for 40-45% of Polycab's C&W demand.
• Power generation, renewable energy and T&D networks are key demand drivers.
• Demand remains healthy, while the Q2-Q3FY26 volume base is high.
• At a 5-7% industry net profit margin, competition-led price cuts may not be sustainable in the medium term.
• Cables require certifications for usage and durability, resulting in a longer gestation period.

Jefferies maintained its Hold rating on Blue Star with a target price of Rs 1,635 as higher input costs continue to pressure margins.

Jefferies

• Rating: Hold
• Target price: Rs 1,635
• Rising input costs continue to exert margin pressure in Q2.
• Margin is estimated to recover in H2, helped by potential price hikes and cost-cutting.
• Data centre business is expected to contribute 20% of sales by FY29 versus 10% in FY27.
• Festive demand will be a key factor.

Jefferies retained its Buy rating on TBO Tek with a target price of Rs 1,905, citing a robust growth outlook despite near-term disruption.

Jefferies

• Rating: Buy
• Target price: Rs 1,905
• TBO Tek is navigating the Middle East disruption.
• Oplev is expected to drive faster earnings growth.
• The Classic acquisition opens up a larger luxury travel opportunity.
• Jefferies expects AI to augment rather than replace the travel-agent model.
• The wholesale business provides a stable growth foundation.

Goldman Sachs retained its Buy rating on Sansera Engineering and raised its target price to Rs 4,990 from Rs 4,500.

Goldman Sachs

• Rating: Buy
• Target price: Rs 4,990 versus Rs 4,500 earlier
• Prospective customers Applied Materials and LAM Research have announced plans to expand semiconductor component sourcing from India.
• Goldman Sachs views both entities as potential longer-term growth contributors for Sansera Engineering.

Jefferies retained its Buy rating on Adani Enterprises with a target price of Rs 3,830, highlighting airports and data centres as key growth pillars.

Jefferies

• Rating: Buy
• Target price: Rs 3,830
• Management highlighted the incubation-to-value-unlocking model.
• Airports and data centres are emerging as key growth pillars.
• Airports are nearing an earnings inflection.
• Navi Mumbai ramp-up, higher non-aero monetisation and city-side development are key factors.
• AI is expanding the opportunity for Adani ConneX.
• Recent capital raises leave Adani Enterprises positioned to fund its next growth phase.

JPMorgan retained its Overweight rating on L&T with a target price of Rs 5,060, pointing to growth across its traditional and emerging businesses.

JPMorgan

• Rating: Overweight
• Target price: Rs 5,060
• Execution in the Middle East continues without major disruptions.
• Customers are broadly accommodating cost increases linked to the conflict.
• Public capex in India should pick up after a period of consolidation.
• Private corporate capex has gained traction, led by large thermal power orders.
• L&T plans to enter data centres, green energy and electronic manufacturing.
• The company aims to double defence revenue by 2031.
• JPMorgan sees L&T positioned for mid-teens growth with healthy RoE.
• Valuation is below 25x P/E.

Citi retained its Buy rating on Kotak Mahindra Bank with a target price of Rs 465, citing resilient business growth and policy tailwinds.

Citi

• Rating: Buy
• Target price: Rs 465
• Group CFO struck a constructive tone on business resilience and policy tailwinds.
• KMIL merger and FCNR-B deposit mobilisation are expected to expand the balance sheet.
• FCNR-B utilisation can support repayment of high-cost wholesale deposits and borrowings.
• Near-term surplus is being parked in treasury investments and short-term lending.
• Over coming quarters, surplus is expected to be deployed into higher-yielding, risk-adjusted assets.
• Asset quality remains reassuring, with no stress evident in retail or SME portfolios.
• Personal loan stress has normalised, with only transient residual stress in retail CV/CE.
• SME is expanding over 20%, MFI remains on track and credit cards are returning to positive growth.

Jefferies retained its Buy rating on Leela Hotels with a target price of Rs 675, citing continued growth in India's luxury hospitality market.

Jefferies

• Rating: Buy
• Target price: Rs 675
• Management remains constructive on India's luxury hospitality market.
• Domestic tourism is more than offsetting foreign tourist demand, while demand is exceeding supply growth.
• Leela's 1,100-key announced pipeline is skewed towards owned assets.
• Multiple attractive markets remain untapped.
• Non-room revenues, club and wellness businesses are emerging growth drivers.
• Management reiterated confidence in its Rs 2,000 crore FY30 EBITDA ambition, implying 25% CAGR over FY26-FY30.

Macquarie said the ruling is a material positive for Delhi International Airport and, by extension, GMR Airports.

Macquarie

• Rating: Outperform
• Target price: Rs 120
• The ruling improves recovery of actual financing and operating costs.
• It also reduces several key regulatory overhangs.
• Macquarie expects AERA to challenge the ruling before the Supreme Court.
• The brokerage sees lower downside regulatory risk and a stronger medium-term outlook for Delhi Airport.

JPMorgan Chase CEO Jamie Dimon said India is the world’s fastest-growing major economy but inconsistent taxation and application of rules can deter foreign investment, according to The Economic Times.

Dimon called for greater competition and equal treatment of domestic and global capital.

• The Nifty 50 settled 67.90 points higher at 23,414.30, compared with its provisional close of 23,429.
• The Sensex settled 564.03 points, or 0.76%, higher at 74,858.99, compared with its provisional close of 74,894.86.

South Korea’s KOSPI rose 1.87%, while Japan’s Nikkei 225 advanced 1.38%. Australia’s S&P/ASX 200 gained 0.11%, while the Shanghai Composite was little changed.

• The S&P 500 rose 1.5% on Monday, while the Nasdaq Composite gained 2.3% and recorded its first closing high since June.
• The Dow Jones Industrial Average advanced 366 points, or 0.7%.

An index tracking US semiconductor stocks rose more than 4%, supporting the technology rally. Meta gained 11%, while Advanced Micro Devices crossed $1 trillion in market capitalisation.

The Nasdaq 100 advanced 2.8%.

• Brent crude traded near $100 a barrel after declining 3.4% in the previous session and settling at $100.34.
• West Texas Intermediate fell 4.5% to $95.78 a barrel.

GIFT Nifty traded at 23,510, up 63.70 points, indicating a higher opening for Indian equities on Tuesday.