Brokerages today highlighted select stocks with sharp re-rating potential. While a handful of companies were marked as strong buy opportunities with over 25% upside, others were flagged for downside risks exceeding 25%, reflecting a mixed outlook across sectors.
Stocks to buy: Over 25% upside calls
Adani Green Energy (Jefferies): Maintained buy with a target price of ₹1,300, implying a 32.6% upside from CMP ₹980.60. Capacity is set to scale 3.5x from 14 GW in FY25 to 50 GW by 2030. Improving leverage and valuations at a 63% discount to Jan 2023 peaks underpin the call.
Adani Power (Morgan Stanley): Initiated overweight with a target of ₹818, suggesting a 29.1% upside from CMP ₹633.50. With regulatory issues resolved and value-accretive acquisitions, the company is projected to deliver 2.5x capacity and 3x EBITDA growth by FY33.
JSW Energy (Jefferies): Maintained buy with a ₹700 target, implying a 30.1% upside from CMP ₹538. Strategy 3.0 aims to lift capacity 2.8x to 30 GW by FY30, driving a 42% EBITDA CAGR over FY25–28E.
Prince Pipes (Motilal Oswal): Reiterated buy with a target of ₹440, indicating a 30.1% upside from CMP ₹338.15. Despite weak PVC demand and volatile prices, management expects demand recovery in 2HFY26 and has kept its guidance intact.
Stocks under pressure: Over 25% downside
RBL Bank (Morgan Stanley): Underweight with a target price of ₹175, implying a steep 35.4% downside from CMP ₹271. Despite guiding 14–16% loan growth in FY26 and a stronger deposit base (CASA + retail deposits now 66%), valuations are seen as stretched.
Snapshot: Big upside vs downside calls
| Stock | Brokerage | Rating | Target (₹) | CMP (₹) | Upside/Downside | Key driver |
|---|---|---|---|---|---|---|
| Adani Green | Jefferies | Buy | 1,300 | 980.6 | +32.6% | 50 GW capacity plan, debt metrics improving |
| Adani Power | Morgan Stanley | Overweight | 818 | 633.5 | +29.1% | Turnaround, 2.5x capacity, 3x EBITDA by FY33 |
| JSW Energy | Jefferies | Buy | 700 | 538 | +30.1% | Strategy 3.0, 42% EBITDA CAGR FY25–28E |
| Prince Pipes | Motilal Oswal | Buy | 440 | 338.2 | +30.1% | Demand revival in 2HFY26, guidance maintained |
| RBL Bank | Morgan Stanley | Underweight | 175 | 271 | -35.4% | Strong deposits but valuations stretched |
Disclaimer: The views and investment recommendations expressed are those of the respective brokerages. These do not represent the views of this publication and should not be considered as investment advice. Investors are advised to consult their financial advisors before making any investment decisions.
