Shares of Supreme Industries rose more than 2% today after global brokerage firm JP Morgan initiated coverage on the company with an Overweight rating and set a target price of ₹4,700. The upbeat note comes as analysts see the domestic pipe industry nearing a crucial demand recovery phase. As of 9:48 AM, the shares were trading 2.18% higher at Rs 4,448.00.
According to JP Morgan, the sector is approaching an inflection point, with demand expected to turn around from the second quarter of FY26. Moreover, margins are forecast to recover meaningfully in the second half of the year, which could further support earnings growth for leading players like Supreme Industries.
The brokerage projects a robust 17–18% compound annual EPS growth over the next three years, driven by strong demand recovery and operating leverage benefits. However, it also highlighted that volatility in PVC prices remains a key risk factor for the industry.
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