Brokerage firms released several key stock recommendations and sector outlooks on March 10 (IST), covering companies across electronics manufacturing, insurance, defence, chemicals, and oil marketing. While some brokerages maintained a positive outlook on select sectors such as defence and pharmaceuticals, concerns emerged around oil marketing companies and energy-intensive industries.
Nomura bullish on Dixon Technologies after JV approval
Nomura has reiterated a Buy call on Dixon Technologies (India) Ltd. with a target price of ₹14,678 per share, following government approval for its joint venture with HKC for display modules.
According to the brokerage, backward integration into display modules is expected to provide a structural margin boost. The construction of the display plant is progressing as planned, with trials likely to begin in Q2 FY27 and a ramp-up expected in H2 FY27.
Nomura noted that display module assembly typically delivers healthy double-digit margins and could add around 50 bps to Dixon’s overall margin by FY28, with potential upside of up to 100 bps once operations fully scale up. The brokerage added that the stock currently trades at around 30x FY28 estimated EPS.
HSBC positive on insurance sector growth
HSBC maintained a positive outlook on the Indian life insurance sector, noting that individual APE growth rebounded to around 20% YoY in February 2026.
The brokerage said most insurers reported a strong pickup in individual APE driven by higher policy sales. However, March volumes could be affected by volatile equity markets.
HSBC also highlighted that the adoption of Ind AS accounting standards and potential changes in commission structures could improve the sector’s overall fundamentals over time.
HSBC initiates coverage on Meesho with Hold
HSBC initiated coverage on Meesho with a Hold rating and a target price of ₹160 per share.
The brokerage said Meesho operates almost as a near-monopoly in India’s value e-commerce segment, focusing on low-value and non-time-sensitive parcel deliveries.
However, HSBC cautioned that improving profitability may be challenging, as margin gains could come at the expense of growth. The brokerage added that long-term valuation would depend significantly on the company’s ability to monetise customer data beyond its core business.
InCred upgrades Jubilant Ingrevia
InCred upgraded Jubilant Ingrevia Ltd. to ADD with a target price of ₹780 per share.
The brokerage expects near-term revenue support from the CDMO plant start-up, with the first dispatch anticipated in mid-March 2026. It also noted limited demand risk for the large CTPR molecule, despite challenges in the FMC segment.
However, InCred stated that management’s ₹2,000 crore EBITDA target by FY30 appears difficult to achieve, citing capability gaps in fluorination and semiconductor chemicals. Even so, the brokerage sees potential for around 2.5x EBITDA growth over the next four years, which supports the upgrade.
MOSL remains positive on defence sector
Motilal Oswal Financial Services maintained a positive outlook on India’s defence sector, stating that ongoing conflict in West Asia could lead to higher global defence spending.
The brokerage believes the sector is well positioned due to strong domestic procurement, export opportunities, and the government’s push for indigenisation. However, it warned that near-term supply chain constraints in specialised components may affect execution timelines.
MOSL issued the following calls:
-
Buy on Bharat Electronics Ltd. with a target price of ₹520
-
Buy on Hindustan Aeronautics Ltd. with a target price of ₹5,500
-
Buy on Bharat Dynamics Ltd. with a target price of ₹1,800
-
Buy on Astra Microwave Products Ltd. with a target price of ₹1,150
-
Neutral on Zen Technologies Ltd. with a target price of ₹1,400
Jefferies flags risks for tiles industry
Jefferies said the West Asia conflict could disrupt gas supplies, noting that India receives around 75% of its LNG imports via the Strait of Hormuz.
The brokerage highlighted that LNG and propane account for roughly 70% of fuel used in the Morbi tiles industry, making it highly vulnerable to fuel price volatility.
Energy costs account for 20–25% of net sales, and a 5% increase in fuel costs could reduce EPS by around 5–7%, according to Jefferies.
The brokerage expects weak FY26 volume growth of about 1% YoY for Kajaria Ceramics Ltd. and maintained a Hold rating with a target price of ₹1,310.
Jefferies positive on Amber Enterprises
Jefferies maintained a Buy rating on Amber Enterprises India Ltd. with a target price of ₹9,120.
The stock has already risen around 40% from its January lows, following a strong December 2025 quarter. The brokerage said Amber currently trades at around 47x FY27 PE, slightly above its five-year historical average.
Key growth catalysts include summer demand, electronics manufacturing expansion, and ramp-up of acquisitions. The company has also added two new customers in its data centre business and secured three ECMS approvals for PCB manufacturing.
Jefferies expects around 48% EPS CAGR between FY25 and FY28, supported by expansion across electronics and mobility segments.
Jefferies bullish on Divi’s Labs
Jefferies also reiterated a Buy rating on Divi’s Laboratories Ltd. with a target price of ₹8,200.
The brokerage expects the company to scale up as a major GLP and peptide CDMO player. Two complex oral GLP intermediates and injectable GLP projects could add $600 million and over $400 million in revenue by FY32.
Jefferies said the company’s strong peptide pipeline and deep relationships with global pharmaceutical companies support long-term growth. The brokerage also expects Divi’s to benefit from **Eli Lilly and Company’s supply chain expansion in India.
It forecasts around 15% revenue CAGR and 20% EPS CAGR between FY26 and FY32, with the company potentially reaching about $2.7 billion in revenue by the early 2030s.
Jefferies positive on industrial capex themes
Jefferies noted that central government capex declined 25% YoY in January 2026, but the remaining two months of FY26 could still see a 14% YoY decline while meeting revised estimates.
The brokerage remains positive on companies benefiting from power transmission and distribution (T&D) capex, including Siemens Energy and Hitachi Energy India Ltd..
It also highlighted strong growth visibility for Hindustan Aeronautics Ltd. and Bharat Electronics Ltd., projecting around 19% and 18% EPS CAGR respectively over five years.
Jefferies initiates coverage on Uno Minda
Jefferies initiated coverage on Uno Minda Ltd. with a Buy rating and a target price of ₹1,350.
The brokerage said the company offers strong exposure to India’s auto sector through a diversified product portfolio, with around 90% of revenue coming from the domestic market.
It expects around 25% EPS CAGR and roughly 20% average RoE between FY26 and FY28, supported by growth across both conventional and electric vehicle components.
UBS downgrades oil marketing companies
UBS downgraded India’s major oil marketing companies due to rising geopolitical risks and uncertain earnings visibility.
The brokerage downgraded Indian Oil Corporation Ltd. and Bharat Petroleum Corporation Ltd. to Neutral, while Hindustan Petroleum Corporation Ltd. was downgraded to Sell.
Target prices were revised to:
-
₹175 for Indian Oil (from ₹190)
-
₹365 for BPCL (from ₹425)
-
₹340 for HPCL (from ₹540)
UBS said a $5 per barrel increase in crude oil prices could potentially halve profits if not passed on to consumers. The brokerage also reduced FY27 and FY28 marketing margin estimates by 43–45% and 22–26%, respectively.
The revisions resulted in FY27 profit cuts of 19% for Indian Oil, 15% for BPCL, and 46% for HPCL, despite higher expected refining margins.