Brokerage activity remains in the spotlight ahead of Thursday’s market open, with several large-cap and mid-cap counters attracting analyst revisions and fresh price targets. Here’s the comprehensive rundown of notable calls and the reasons driving them.
Financials lead the day’s upgrades
Morgan Stanley (MS) has upgraded Muthoot Finance to overweight from its previous stance, raising the target price to ₹2,920 per share. The upgrade is underpinned by Muthoot’s substantial consensus beat, group-leading ROE and EPS growth, and negligible asset quality risk even as sectoral bad loans are expected to rise. MS sees scope for ongoing consensus upgrades in the stock, a notable contrast to cuts elsewhere in the peer group. Jefferies also maintained its buy rating, hiking the target to ₹2,950.
Strong capital goods and metals outlook
Motilal Oswal Financial Services (MOSL) reaffirmed its buy call on Va Tech Wabag with a raised target of ₹1,900, citing healthy project execution. MOSL also reiterated a buy on Jindal Steel & Power (JSPL), increasing its target to ₹1,180 on expectations of sustained demand momentum.
Retail and consumer stocks in focus
Morgan Stanley remains bullish on Vishal Mega Mart with an overweight rating and a ₹161 target price, highlighting YoY growth of 21% in revenue, 26% in EBITDA, and 37% in net profit. Same-store sales growth came in at 10.5%, above estimates, driven by store expansion, high footfalls, and strong own-brand sales, partially offset by festival timing shifts. EBITDA margin improved to 14.6% and adjusted EBITDA margin rose to 10.3%.
In QSR and retail, Devyani International retained positive sentiment with Macquarie maintaining outperform at ₹215 and Nuvama keeping buy at ₹210.
Mixed calls on Jubilant FoodWorks
The QSR chain saw a flurry of ratings. CLSA maintained underperform with a ₹519 target after Q1 standalone sales growth of 18% YoY, noting gross margin contraction of 199 bps YoY to a three-decade low and EBITDA miss, prompting a 5–11% cut in FY26–28 estimates. MS held an overweight rating at ₹781, citing strong India growth, Domino’s India LFL growth of 11.6%, and expectations for gross margin recovery. HSBC upgraded to hold with a ₹650 target, pointing to sustained LFL growth and confidence in strategy despite margin pressure from promotions. Other views include Macquarie (underperform, ₹545), MOSL (neutral, ₹725), Nuvama (buy, ₹811), and CLSA (underperform, ₹519).
Oil and gas space
Morgan Stanley maintained an overweight on Bharat Petroleum Corporation Ltd (BPCL) with a ₹406 target, after core earnings of ₹9,760 crore adjusted for a ₹2,000 crore inventory loss, which still beat estimates. Marketing volumes rose 3% YoY, outpacing the industry, though competitive pressures remain in industrial diesel. Russian crude discounts narrowed, with some sourcing expected to shift to the Middle East, potentially impacting EPS by 3% but largely priced in. Citi also kept buy with a higher target of ₹430.
Technology under the lens
Morgan Stanley maintained equal weight on Infosys with a ₹1,700 target following the announcement of a JV with Telstra in Australia, calling the deal strategically valuable without being dilutive to EPS. Nomura retained buy at ₹1,880 after Infosys agreed to acquire a 75% stake in a new entity carved out from Telstra for AUD 233 million, expecting a $70 million revenue contribution in FY26.
Other notable moves
Morgan Stanley kept an overweight on Brainbees with a ₹574 target, while Macquarie maintained underperform on United Spirits at ₹1,250. Jefferies reiterated buy on Motherson at ₹110. Citi maintained buy on PI Industries at ₹4,310, while Nuvama kept hold on Natco Pharma at ₹1,020 and reduce on ONGC at ₹225.
Overall, the brokerage landscape today signals optimism for select financial, retail, and oil & gas majors, tempered by cautious views on some consumer and QSR names.
Disclaimer: The views and target prices mentioned are those of the respective brokerages. This does not constitute investment advice. Investors should consult their financial advisor before making investment decisions.
