Check out top stocks under brokerages' radar heading into trade today.
(Photo: Canva)
Brokerages have highlighted opportunities across defence and aerospace, banks, FMCG, cement, cables and wires, aviation and industrial sector, issuing fresh calls on HAL, HDFC Bank, Interglobe Aviation, JSW Infrastructure, Tata Capital, Grasim Industries, Titagarh Rail Systems, UltraTech Cement, Shaily Engineering Plastics, Polycab, Nestle India while also sharing their outlook on India EMS and hotel sector.
Goldman Sachs on Hindustan Aeronautics (HAL)
- Maintain Buy with TP of Rs. 5,870
- Platform deliveries improving across aircraft and helicopters
- HAL's manufacturing portfolio is beginning to pick up
- Deliveries are picking up across platforms,
- Latest handovers spanning fighter/trainer aircraft and helicopters
- Alongside improving engine availability for the LCA Mk1A programme
- Supply constraints gradually easing
- Aircraft moving through production/testing into deliveries
- Expect the focus to increasingly shift towards execution and conversion
- Development is consistent with the government's continued emphasis.
Citi on Hindustan Aeronautics
- Maintain Buy with TP of Rs 6175
- Execution broadening across platforms
- Multiple handovers demonstrate improving breadth of execution
- Dhruv NG execution is progressing well and establishes a valuable civil reference
- HTT-40 creates another scalable production stream, execution delays notwithstanding.
CLSA on Hindustan Aeronautics
- Maintain Outperform with TP of Rs. 5,481
- Delivery, delivery, delivery
- The best is ahead
- Believe that the best is yet to come in 2H
- HAL is the cheapest pure-play defence stock despite a sector leading position
- Trading at deserved premium to global aerospace peers
- Received 10 GE F404-IN20 engines and expects to deliver 10 Tejas Mk-1A aircraft by March
- GE has committed to supplying another 12 engines by December
- Highlighted the start of LCA Mk 1 delivery in 2Q
- HAL highlighted US$27bn business visibility.
UBS on HDFC Bank
- Maintains Buy, TP at Rs 1,000
- Leadership uncertainty resolution seen driving a near-term re-rating.
- CEO names already submitted to RBI, clarity expected soon.
- Loan growth showed early recovery, 15.6% in Q1FY27.
- UBS expects loan growth to improve toward 15% over FY27-29E.
- Margins expected to improve toward 3.5%, aided by retail loan mix shift.
- RoA seen improving to 1.9% in FY27/28E.
- 42% of branches are under 5 years old, aiding future productivity.
- Deposit CAGR forecast at 15.5% over FY26-28E.
- Stock trades at just 1.4x FY28E P/BV, a favourable risk-reward, per UBS.
- HDFC Bank trades at a 33% discount to its own long-term average P/BV.
- Also trades at a 30% discount to ICICI Bank, the widest ever.
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Jefferies on JSW Infrastructure
- Maintain Buy with TP of Rs. 395
- Jefferies India Forum 2026: Takeaways
- Mgmt reiterated its target to double EBITDA over FY26-28E,
- Growth to be led by Ports / Logistics capacity additions
- 61% capacity addition targeted in FY27E vs. FY26.
- 2.2x capacity rise target over FY26-30 to 400 mnt by FY30E
- Logistics ambitions are gaining traction, with terminal / rake additions
- 25%+ FY26-30E EBITDA CAGR visibility remains, driven by JSWI and JSW group plans.
HSBC on UltraTech Cement
- Maintain Buy with TP of Rs. 14,200
- Industry leading profitability, volume growth to continue; price hikes to offset cost increase
- Disagrees profitability-versus-market-share investor concern
- Cement price increases in Sept, likely to pass on variable cost push
- India presence, size, and scale should support valuation premiums
- Multiple de-rating not justified given industry leading volume growth, profitability and market share
- 1-year forward EV/EBITDA multiple has de-rated from a peak 1-year forward EV/EBITDA multiple of 26x to 13.7x currently
- Has consistently grown faster than the industry, and expect this trend to continue.
JPMorgan on Tata Capital
- Maintain Overweight with TP of Rs 395
- NIM improvement remains a key strategic priority
- Growth guidance intact at 23-25%
- Asset quality benign despite macro headwinds
- Flexi-book in focus; net exposure <5%
- FCNR impact is nuanced.
Jefferies on Grasim Industries
- Maintain Buy with TP of Rs. 3,910
- Jefferies India Forum 2026 - Key Takeaways
- Opus Paints targets 50%+ growth in FY27
- Paint business targets profitability by FY28 exit
- VSF profitability supported by healthy industry demand
- Birla Pivot targets EBITDA breakeven by FY27-end
- Renewable business scaling rapidly
- Net debt-to-EBITDA targeted below 2x levels.
CLSA on Nestle India
- Outperform Rating
- FSSAI initiates regulatory action on infant nutrition products
- Claims related to HMOs and digestibility under scrutiny
- Three separate adjudication cases filed against company
- Milk products and nutrition contribute one-third of sales
- Nutrition segment contributes higher share of profitability
Jefferies on IndiGo
- Maintain Buy with TP of Rs. 5,840
- Mgmt highlighted near-term industry rationalisation
- Airlines prioritising profitability over growth amid elevated costs
- Highlighted that pricing/yields remain strong
- Mgmt keeps capacity growth (flattish YoY for 2Q)
- PRASK guidance (~25%) unchanged
- Mgmt sees recent fare hikes as partly sticky, supporting medium-term revenue quality
- New CEO's priorities, strengthening operational capabilities & building foundations for next phase
- Cost actions & mgmt transition remain on track
- Strong BS supports IndiGo's FY30 growth ambitions.
Morgan Stanley on Polycab India
- Overweight with TP of Rs. 10,545
- Preparing for entry of new cable brand Ultravolt
- Expects larger impact on smaller unorganized players
- As ~30-35% of wires are unorganized vs. ~10% in cables
- C&W - industry margins are lower, limiting scope to gain share purely through aggressive pricing
- Ultravolt's initial ~Rs18bn capex looks modest relative to Polycab's existing scale
- Though Polycab does not rule out further capex over time
- Polycab has ~10,000 cable SKUs, which it believes is difficult to replicate quickly
- Distribution/supply chain remains a key moat, with the ability to service customers within ~24 hours
Jefferies on Hotels Sector
- Remain constructive; top picks IHCL and Leela
- Hotel industry RevPAR rose 18% in August
- Growth driven by stronger rates and occupancy
- Metro markets outperformed leisure destinations in August
- September demand boosted by large MICE events
- Strong finish expected for second quarter FY27
- Expect Hotels coverage universe to deliver Hotels EBITDA CAGR of ~12-19% over FY26-29E
Jefferies on Titagarh Rail Systems
- Maintain Buy with TP of Rs. 990
- Jefferies India Forum 2026: Takeaways
- Mgmt remains confident of scaling its Passenger Rail biz over FY26-30E
- Driven by strong order book, execution pickup, and the government's railway modernization plans
- Freight Rail (FRS) should remain steady, with potential order inflows in FY27E
- See Titagarh as a key beneficiary of India's passenger rail upcycle
- Recent MoU with Siemens paves way for pursuing international metro stock opportunities
- Estimate 44% FY26-30 EPS CAGR led by strong PRS Order Book.
UBS on Shaily Engineering Plastics
- Maintain Buy with TP of Rs. 4,500
- Sandoz gets approval to launch generic semaglutide in Canada
- Sandoz will launch in 3 strength doses through pen format
- Positive for Shaily given dominant Canadian pen market share
- Keeps company on track to exceed FY27 guidance
- UBS estimates 40 mn pens versus 36 mn guidance.
JPMorgan on India EMS
- Takeaways from India Semicon Event
- Kaynes planning $1 billion OSAT investment under ISM 2.0
- Kaynes investment would be three times ISM 1.0 commitment
- Watch out for an potential announcement by Kaynes on its application for OSAT
- Kaynes, CG Power, Micron, CDIL and Suchi Semicon are exporting chips also supplying them domestically
- These chips are able to compete on both cost and quality vs. global peers
- Chips are getting booked by clients given high demand
- Focus on ramping up production.
Disclaimer: The views and opinions expressed by the investment advisers on NDTV Profit are of their own and not of NDTV Profit. NDTV Profit advises users to consult with their own financial or investment adviser before taking any investment decision.
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