Nuvama has maintained a ‘buy’ rating on Zee Entertainment, setting a target price of ₹185 per share, implying a 89.2% upside from the current market price (CMP) of ₹97.78.

The brokerage highlighted that promoters recently bought 2.7 million shares worth ₹27 crore through open market transactions, increasing their stake to 4.28%. Nuvama believes that the quantum of this acquisition signals confidence in Zee’s long-term growth prospects, which should boost minority investor sentiment.

Key growth drivers:

  • Subscription revenue has expanded for seven consecutive quarters, demonstrating strong demand.
  • Advertising revenue remains weak, but Nuvama expects a recovery from Q2FY26, led by urban demand revival and improved FMCG gross margins.
  • Valuation remains attractive, with Zee trading at just 10x P/E, making it a compelling investment opportunity.

Nuvama expects Zee’s long-term fundamentals, subscription strength, and ad recovery prospects to drive future growth.

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