Stock Picks Today: SBI, Ola Electric, Delhivery, Kaynes, Godrej Consumer, Titan, And More On Brokerages' Radar

Brokerages have identified opportunities across banking, healthcare, FMCG, logistics, electronics manufacturing services, tyres, electric vehicles, retail and jewellery, metals, and pharmaceuticals sectors, with fresh calls on SBI, Ola Electric, Delhivery, Kaynes Technology, Godrej Consumer Products, HIndalco, Titan, Apollo Tyres, Finolex Industries, Kirloskar Oil Engines, NMDC, and Fortis Healthcare, alongside a view on a financial stock.

Citi on State Bank of India

• Maintains Buy; raises TP to Rs. 1,300 From Rs. 1,230
• Strong Q1 beat as NIM, fee income, cost efficiency and loan growth all improved
• Domestic NIM rebounded 7bps QoQ to 3%, validating management's FY27 target
• Advances accelerated 19% YoY, led by Retail, SME and Agri, while opex remained tightly controlled
• Management reiterates 3% domestic NIM and 14-15% credit growth guidance for FY27, with limited NIM impact from FCNR(B) mobilisation

MS on SBI

• Maintain Equal-weight with TP of Rs 1070
• Q1 – Good quarter
• Raised forecasts as we reversed some of the sharp cut in NIM after the Q4 miss
• Assume NIM to remain largely stable from here
• Will watch this given the volatility in recent quarters
• Valuation is full relative to sustainable ROA, ROE

HSBC on SBI

• Maintains Buy; raises TP to Rs. 1,310 from Rs. 1,180
• Strong 1QFY27 beat led by NIM expansion, robust fee income, tight cost control and benign credit costs
• Domestic NIM rose 7bps QoQ to 3%, with management retaining its 3% FY27 NIM guidance
• Loan growth guidance raised to 14–15% for FY27, with retail and SME driving incremental growth
• Raises FY27-29E EPS estimates by 9–14%, driven by higher NIM assumptions, better cost control and lower credit costs
• FCNR(B) deposits of US$6bn, targeted at US$10bn, should replace higher-cost bulk deposits without materially impacting NIM

UBS on SBI

• Maintains Neutral; raises TP to Rs. 1,190 from Rs. 1,080
• Q1 beat driven by strong NII, fee income and cost control; PAT came in at Rs. 211.2bn
• NIM improved 5bps QoQ to 2.86%, while loan growth remained strong at 19% YoY; LDR rose to 83.1%
• Management raised FY27 loan growth guidance to 14-15% and expects domestic NIMs to remain above 3%
• Valuation at 1.1x FY28E P/BV looks fair.
• UBS expects ROA to moderate towards ~1% as treasury gains and credit costs normalize.

JP Morgan on SBI

• Maintains overweight; raises TP to Rs.1,280 (from Rs.1,240)
• Strong Q1 with broad-based beat; NIM expansion positive
• Domestic NIM at 3% and loan growth at 19% support confidence
• FY27 loan growth guidance raised to 14–15% from 12–14%
• Lower credit costs and benign asset quality add to the positive outlook
• Industry-leading growth and improving NIM trajectory remain key positives for the stock

Jefferies on SBI

• Maintains Buy; raises TP to Rs. 1,320 from Rs. 1,300
• Strong Q1 beat; domestic NIM rebound to 3% drove 15% YoY NII growth
• Loan growth remained robust at 19% YoY, led by corporate, Agri, SME and international loans
• Asset quality stayed healthy with 1.5% gross NPL and 74% coverage, while credit costs remained low
• Management sees headroom for further LDR expansion despite loan growth running ahead of deposits
• SBI among Jefferies top picks.

Bernstein on SBI

• Maintains Marekt perform; TP at Rs. 1,300
• Q1 broadly steady, with strong loan growth and sequential NIM improvement supporting NII
• Loan growth remained robust at 19% YoY, led by broad-based traction across agriculture, SME, corporate and retail
• Deposit growth lagged at 10% YoY, pushing LDR higher to 83% and warranting monitoring
• Asset quality remained stable despite seasonal rise in slippages, with credit costs at 27bps and GNPA improving to 1.47%
• Strong fee income growth and controlled opex supported RoA improvement to 1.11%
• Sharp rise in borrowings remains a monitorable as sustained funding reliance could create a growth-vs-margin trade-off

Macquarie on SBI

• Maintains Outperform; TP Rs. 1,150
• Q1 PAT beat estimates, supported by resilient NIMs, tight opex and stable credit costs
• Loan growth remained strong at 19% YoY, led by SME and Agri, with FY27 growth guidance raised to 14-15%
• Domestic NIM expanded 7bps QoQ to 3%, with management confident of sustaining this level through FY27
• Deposit growth lagged advances at 10%, pushing LDR to 83%, though lower funding costs helped protect margins
• Asset quality remained healthy with GNPA at 1.47% and credit costs at 27bps; ECL impact remains manageable
• At 1.2x FY28E P/BV, valuations remain comfortable against expected ~14% ROEs.

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Kotak on Ola Electric

• Maintain Sell with TP of Rs 20
• Volume scale remains the critical hurdle
• Q1FY27 adjusted EBITDA margin was below expectations due to lower ASPs
• Sequential volume recovery, but volume trajectory needs to scale up further
• Despite QIP, FCF outflow poses another challenge
• If current volume trajectory does not improve, the company will be required to raise capital.

Citi on Ola Electric

• Maintain Sell with TP of Rs 26
• Q1FY27 Results: Weaker Volumes & Lower Gross Margin Offset by Cost Control+ PLI Penalty Reversal
• Losses Lower Than Estimate
• Volumes remain sluggish and ASPs weak; Competition is escalating
• Positive impact of shift to dealership-based model is uncertain at this stage
• Comparatively, Ola's performance looks much weaker
• Legacy players are also performing well.

Goldman Sachs on Ola Electric

• Maintains Neutral; raises TP to Rs. 40 from Rs. 38.9
• Q1 weak with revenue down 45% YoY and EBITDA loss of Rs. 1.65bn; margins fell to 30.9%
• Volumes recovered to ~40k units, while dealer-led distribution and 6GWh cell capacity ramp-up are key upcoming triggers
• Cash burn remains a concern, with FCF at negative Rs. 3.5bn and no material cell revenue expected in Q2
• Raises FY27-29E EPS estimates on volume recovery, but execution and cash-flow risks keep the Neutral view.

JPMorgan on Delhivery

• Maintain Overweight; Cut TP to Rs 590 from Rs 650
• Q1 review: Transitory costs weigh on earnings; outlook remains solid
• Believe margins bottomed in Q1 and should see a sharp recovery in H2
• However, margin delivery will be key to improved investor confidence.

Citi on Delhivery

• Maintain Buy; Hike TP to Rs 570 from Rs 565
• Robust Volumes & Positive Outlook
• Margins Should Rebound
• Well positioned to benefit from any acceleration in traditional e-commerce
• New Opportunities: 3PL Quick Commerce; Reverse Logistics, Intra-City; SaaS. 

MS on Delhivery

• Maintain Equal-weight; Cut TP to Rs 500 from Rs 510
• Good top line; margins missed
• Cost pressures led to margin miss in Q1
• Mgmt expect to recoup over coming quarters and have a similar outlook for FY27 margins as earlier
• Elevated mgmt team members to take on greater responsibilities.

Kotak on Kaynes Technology

• Maintains Reduce; raises TP to Rs. 3,550 from Rs. 3,280
• Weak Q1 PAT, down 25% vs estimates, despite strong 40% YoY revenue growth
• Core EBITDA margin at 15.6% beat estimates, but higher interest and D&A offset operating performance
• Cash generation remains weak with negative OCF of Rs. 2.6bn and working-capital days rising to 163 from 122
• Smart meter collections remain a concern, while higher inventory amid supply-chain and commodity pressures could weigh on near-term margins
• OSAT and PCB businesses are expected to start contributing from 2HFY27, providing future growth levers

JPMorgan on Kaynes Technology

• Maintains Neutral; cuts TP to Rs. 3,600 from Rs. 3,700
• Strong Q1 beat; first revenue and margin beat in at least five quarters
• Revenue grew 40% YoY, 10%/12% ahead of consensus/JPMe, while EBITDA margin at 15.6% beat estimates
• Core EMS growth was particularly strong at 66% YoY, while smart-meter revenue declined 9% as the company prioritised cash conversion
• Working capital remains the key concern, with NWC days rising to 163 from 125, driven by delayed smart-meter collections and higher inventory
• OSAT and PCB ramp-up delayed to 3QFY27 due to equipment and logistics issues, though combined revenue guidance remains Rs. 4.5-5bn. 

Citi on Fortis Health

• Maintain Buy with TP of Rs 1180
• Q1FY27: Core Hospitals' Margins Resilient
• FY28E Margin Target Reiterated
• Diagnostics- Double-digit growth guidance maintained
• Strengthens its expansion pipeline through an O&M partnership for a 300-bed hospital in Cuttack. 

JP Morgan on Fortis Healthcare

• Maintain overweight hikes TP to Rs. 1,180 (from 1120)
• Margin guidance intact despite ESOP; valuations comfortable
• In-line revenues, margins tad higher
• Capacity expansion on track; Gleneagles still stabilizing
• Valuations are comfortable at ~24/21x FY28/29 EV/EBITDA
• Hospital EBITDA growth is among the highest at ~22% CAGR over FY26–29
• Largely brownfield-led bed addition pipeline lowers execution risk.

GS on Fortis Healthcare

• Maintains Neutral; TP revised to Rs.975
• In-line Q1; strong hospital performance drives 17.5% revenue growth
• Hospital occupancy improved, while Diagnostics profitability continued to recover
• Margins at 21.1% were below estimates, impacted by ESOP costs
• FY28 guidance remains positive with mid-teen revenue growth and ~25% hospital margins
• Bed additions, better ARPOB mix and turnaround potential across hospitals/Diagnostics support growth
• Margin recovery and execution remain key to building confidence in the stock

Jefferies on Fortis Healthcare

• Maintains Buy; TP at Rs. 1,125
• Q1 broadly in line; hospital revenue grew 19% YoY, driven by bed expansion
• Hospital EBITDA growth remained healthy, while Diagnostics revenue grew 9% with higher realizations
• Plans to add 400 beds in FY27, largely through brownfield expansion, supporting near-term growth visibility
• ESOP costs to add ~Rs. 1.3bn annually, leading to 1-4% cuts in FY27-29 EBITDA estimates
• Management retains FY28 target of 25% EBITDA margins post-ESOP costs

MS on Financials

• RBI sweetens FCNR (B) funding economics
• RBI circular says advances in India against eligible fresh FCNR(B) and NRE deposits will be excluded from ANBC for PSL calculation
• Further states that fresh/renewed FCNR(B) deposits of 3-5y and NRE term deposits of >/=3y, mobilized within RBI-specified Jun-Sep 2026 windows, qualify
• Improved unit economics for FCNR(B) deposits should allow banks to offer further higher rates on these deposits and/or realize higher return
• Incremental savings may vary significantly based on a bank's priority sector gross shortfall on average, reliance on inorganic sources, etc.
• A 5% gross shortfall (small and marginal farmer sub-category) and a 3% PSLC cost translates to 15 bps pre-tax savings.

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MS on NMDC

• NMDC cuts iron ore prices
• This is not surprising for us as we have been expecting price cuts
• See pullback in seaborne iron ore prices and seasonally weak demand
• Expect domestic iron ore prices to remain in check near term during the monsoons

JP Morgan on GCPL

• Maintains overweight cuts TP to 1175 (from 1200)
• In-line Q1, better FY27 guidance
• But confidence needs higher volumes + margin recovery
• GCPL's management narrative on the earnings call was balanced
• Margin narrative was somewhat cautious/uncertain in the near term
• Commodity volatility will continue to influence the trajectory
• Believe higher volume growth and revival in margins would be required to build confidence in this name.

Macquarie on Godrej Consumer

Maintains Outperform; TP Rs. 1,250
Q1 EBITDA broadly in line, with strong Africa and Indonesia performance offsetting India margin pressure
India gross margin declined 261bps YoY, with inflationary pressures likely to persist into Q2
Market share gains in insecticides and improving international momentum remain key positives
Near-term India margin pressure and weak home insecticide performance remain key monitorables.

Jefferies on Godrej Consumer

• Maintains Buy; TP Rs. 1,400
• Q1 broadly in line
• Mgmt. sounded confident, driven by market share gains in Hone insecticides
• Margin pressure from LPG, kerosene, LAB, etc., remains a near-term concern,
• Management targets 22-26% India margins in 2H
• Mgt remains confident of exceeding FY27 consolidated revenue and EBITDA guidance.

HSBC on GCPL

• Maintains Buy; raises TP to Rs. 1,260 from Rs. 1,250
• Q1FY27 broadly in line; Africa outperformance offset moderation in India, making the growth mix less favourable
• India delivered 7% underlying volume growth, while consolidated revenue grew 18% YoY
• Gross margin declined 260bps YoY due to LPG, kerosene and LABSA inflation; India margins expected to recover to 24–26% over the next few quarters
• Company expects FY27 revenue growth to exceed earlier guidance, with India volume growth potential of ~8%.

HSBC on Hindalco

• Maintains Buy; TP at Rs. 1,430
• Large Q1 beat with consolidated EBITDA at Rs. 139.7bn, up 37% QoQ, led by strong performance across India and Novelis
• Novelis earnings should improve as Oswego restarts, while insurance receipts and working-capital release could accelerate deleveraging
• Multiple catalysts ahead including Bay Minette commissioning and India aluminium/alumina capacity expansions
• At current price, implied Novelis valuation is only ~2x FY28E EV/EBITDA, leaving scope for rerating as operational issues fade.

UBS on Hindalco

• Maintains Buy; TP at Rs. 1,325
• Q1 EBITDA at Rs. 140bn beat UBS estimates by 29%, driven by strong aluminium upstream, Novelis and copper performance
• Novelis adjusted EBITDA/ton came in at US$563, well ahead of estimates, while aluminium upstream EBITDA rose 81% YoY
• Novelis deleveraging is a key catalyst, with US$300-400mn working-capital release expected and leverage targeted below 4x by FY27-end.

JP Morgan on Hindalco

• Maintains overweight hikes TP to 1205 (from 1190)
• Growth within sniffing distance
• Hindalco's growth projects remain on track
• Ph 1 Aluminum smelter will be commissioned by Dec-2027 FY29 will likely see meaningful volumes
• Captive coal mines will also see ~1.5MT volumes in FY28, yielding cost savings
• Consolidated net debt to EBITDA moved slightly higher QoQ to 1.95x from 1.83x led by Novelis
• Management reiterated that FY27 will be capex heavy even in India
• Consol Net Debt/EBITDA should be stable in the coming quarters and likely see a decline by 4QFY27.

Jefferies on Hindalco

• Maintains Hold; raises TP to Rs. 1,100 from Rs. 1,075
• Strong Q1; consolidated EBITDA beat estimates by 20%, driven by India and a sharp Novelis recovery
• India EBITDA rose 26% QoQ on higher aluminium and sulphuric acid realizations, but profitability is expected to moderate from Q1 peak
• Valuations remain reasonable at 1.4x FY27E P/B and 6.3x EV/EBITDA.

Nomura on Apollo Tyres

• Maintains Neutral; raises TP to Rs. 468 from Rs. 452
• Q1 EBITDA was in line at Rs. 8.7bn, with margin at 11.7% beating estimates despite higher raw-material costs
• India volumes grew 12% YoY, while management has taken 9% TBR and 11% other-category price hikes; further hikes are needed to fully offset costs
• High capex of Rs. 35bn/30bn in FY27/28 and weaker operating profit are expected to keep FCF subdued
• EU restructuring benefits and new capacity could support margins, but CV exposure and rising replacement-market competition remain key concerns.

JP Morgan on Titan

• Maintains overweight and hikes TP to 5465 (from 5400)
• Strong Q1 Print Despite Volatility
• Demand Durability the Debate but Execution Drivers Reassure
• Jewellery - Multiple levers in place to sustain Revenue/ EBIT growth ambitions.

Morgan Stanley on Titan

• Maintains Overweight; TP ₹5,483
• Q1 broadly in line; headline margins boosted by one-offs
• Adjusted TMZ EBIT margin at 10.9%, with inventory gains and gold procurement benefits masking underlying margins
• Buyer growth at 5%, while studded growth remained strong at 34% YoY
• Management remains confident on jewellery growth despite elevated gold prices, with improving mix and buyer additions key drivers
• Margin outlook remains constructive with jewellery EBIT margins targeted at ~11% and gross-margin initiatives expected to benefit 2H
• Strong execution, stable margins and improving buyer/studded mix support continued stock outperformance.

Macquarie on Titan

• Maintains Outperform; TP Rs. 5,400
• Q1 EBITDA beat led by sharp CaratLane margin improvement and strong TEAL performance
• Jewellery demand remains healthy, with management confident of sustaining double-digit sales growth even if gold price inflation moderates
• Tanishq margin stood at 10.9% adjusted for one-off MTM gains, limiting scope to extrapolate Q1 margins
• Studded jewellery growth continued to improve, while CaratLane margins expanded sharply to 10.1%
• Turnaround potential in Damas and Titan's ability to balance strong growth with margins remain key positives.

Jefferies on Titan

• Maintains Hold hikes TP to Rs. 5000 (from 4800)
• Strong Q1 momentum; jewellery revenue grew 38% ex-bullion despite gold price volatility
• Reported jewellery EBIT margin rose to 14.2%, but normalized margin at 10.9% was broadly in line with guidance
• One-off inventory and MTM gains boosted Q1 profitability, with MTM gains expected to reverse in coming quarters
• Management remains confident of double-digit jewellery growth, driven by buyer acquisition and market-share gains

Citi on Titan

• Maintains Buy; raises TP to Rs. 5,700 from Rs. 5,075
• Strong Q1; jewellery revenue/EBITDA grew 38%/33% YoY, excluding bullion and one-offs
• Management remains confident of sustaining double-digit jewellery growth irrespective of gold-price trends
• Near-term growth remains healthy, though some softness in plain gold jewellery emerged in late July
• Mix improvement from moderating gold coin growth and accelerating studded jewellery could drive further margin upside. 

Jefferies on Finolex Industries

• Maintains Buy; cuts TP to Rs. 210 from Rs. 220
• Q1 miss as 27% YoY decline in Pipes & Fittings volumes offset strong margins
• Sharp PVC volatility in April drove channel destocking, though demand traction improved in May-June and remained healthy in July
• EBITDA margin expanded 310bps YoY to 12.1%, supported by higher realizations, cost control and backward integration
• Management expects healthy demand momentum, with August starting on a positive note
• Attractive valuation at ~17x forward PE and improving plumbing mix support the buy view. 

Jefferies on Kirloskar Oil Engines

• Maintains Buy; cuts TP to Rs. 2,655 from Rs. 2,815
• Weak Q1 as EBITDA missed by 21%, with margins 355bps below estimates
• B2B growth remained strong at 17%, but higher commodity, logistics and employee costs pressured margins
• Price hikes are being implemented, supporting expectations of gradual margin recovery from the next quarter
• Continued HHP market share gains and data centre order execution provide additional growth levers.

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