Jefferies has a positive call on MCX, Gateway Distriparks and Nykaa, with the brokerage seeing separate growth triggers for each stock. MCX is being backed on the possibility of wider foreign portfolio investor participation in commodity derivatives, Gateway Distriparks on capacity expansion and a stronger rail opportunity, and Nykaa on sustained growth alongside improving profitability.
Its latest research also points to different risks, ranging from regulatory execution for MCX to capacity expansion and competition for Gateway and valuation considerations for Nykaa.
Jefferies on MCX: ‘Buy’
Jefferies has a ‘Buy’ rating on Multi Commodity Exchange of India (MCX) and a price target of Rs 3,600, implying 25% upside. The brokerage’s August 12 report centres on SEBI’s proposals to widen foreign portfolio investor participation in non-agricultural index derivatives and non-cash-settled non-agricultural commodity derivatives.
Jefferies estimates that participation by foreign portfolio investors in non-cash-settled non-agricultural contracts at levels similar to existing participation could add 3% to MCX’s profit after tax. It also estimates that commodity index options such as Bulldex and Metldex, which currently have no volumes, could add 10% to PAT if they reach 10% of monthly equity average daily turnover within three years. FPI participation in MCX’s energy options stood at 4-5% of turnover in FY26.
“Similar participation in non-cash/non-ag contracts could add 3% to MCX’s PAT,” Jefferies said.
The brokerage values MCX at 42 times September 2028 estimated earnings per share, building in a 22% earnings CAGR over the next three years, supported by a 21% revenue CAGR and 90 basis points of EBITDA margin expansion. Jefferies identifies competition and regulation as key risks to its valuation.
Jefferies on Gateway Distriparks: ‘Buy’
Jefferies has retained a ‘Buy’ rating on Gateway Distriparks and raised its price target to Rs 74 from Rs 73, implying 23% upside. The brokerage’s August 5 report says the June 2026 quarter’s EBITDA was broadly in line with its estimate, while rail volumes remained subdued.
Jefferies expects capacity additions and Dedicated Freight Corridor connectivity to support rail volumes. The brokerage estimates that capacity additions and DFC will lead to an 11% CAGR in rail volumes over FY26-30E. Gateway’s Indore ICD is under construction, with 120,000 TEU of planned capacity, and management targets completion by 2028.
The brokerage forecasts EBITDA of Rs 518.8 crore in FY27E, Rs 593.4 crore in FY28E and Rs 644.5 crore in FY29E, compared with Rs 479.8 crore in FY26. EBITDA margin is estimated at 22.7% in FY27E and 23.2% in FY28E, before moderating to 22.6% in FY29E.
Jefferies says the key downside risks are “rising competitive intensity at its key ICD locations” and delays in capacity expansion that could limit growth.
Jefferies on Nykaa: ‘Buy’
Jefferies has retained a ‘Buy’ rating on FSN E-Commerce Venturesand raised its price target to Rs 400 from Rs 350, implying 17% upside. The brokerage’s August 4 report describes the June 2026 quarter as “A Beautiful Quarter”, with revenue growth and profitability ahead of expectations.
Beauty gross merchandise value grew about 28% year-on-year, while fashion gross merchandise value grew more than 50%. Nykaa added 11 stores during the quarter, taking its beauty-store network to 324 stores across 105 cities. Its customer base grew about 33% to 60 million during the quarter.
“Valuations are punchy but underpin strong growth expectations,” Jefferies said.
Jefferies stock picks: Price targets and upside
| Stock | Rating | Price target | Upside |
| MCX | ‘Buy’ | Rs 3,600 | 25% |
| Gateway Distriparks | ‘Buy’ | Rs 74 | 23% |
| Nykaa | ‘Buy’ | Rs 400 | 17% |
Jefferies’ highest implied upside among these three calls is for MCX at 25%, followed by Gateway Distriparks at 23% and Nykaa at 17%. The brokerage’s targets are based on its own earnings estimates and valuation assumptions for each company.
Conclusion
Jefferies’ latest research carries ‘Buy’ ratings on MCX, Gateway Distriparks and Nykaa. MCX’s case is tied to the proposed widening of foreign participation in commodity derivatives, Gateway’s to capacity expansion and rail-volume growth, and Nykaa’s to continued revenue growth and improving profitability.
The brokerage’s latest calls therefore rest on three distinct earnings drivers.
Disclaimer: This article contains ratings, price targets, financial estimates and other forward-looking statements from Jefferies research. Such estimates and targets are subject to change and may not materialise. The information is provided for news and informational purposes only and does not constitute investment advice, a recommendation, or an offer or solicitation to buy, sell or hold any security. Readers should conduct their own research and consult a SEBI-registered investment adviser before making investment decisions.