The markets have a cautious undertone. Deciding on the right investment strategy and proper stock selection becomes important. Global brokerage house Jefferies, in its latest report, has given a ‘Buy’ call to a select number of stocks across sectors. According to the brokerage report, the upside potential in some of these names could go up to 22% from current levels.
Here’s a closer look at three stocks where Jefferies maintained a ‘Buy’ view and the reasoning behind each call.
Jeffries on Mahindra & Mahindra
Jefferies has maintained a ‘Buy’ rating on Mahindra & Mahindra (M&M), setting a target price of Rs 4,500. This implies an upside potential of about 22% from the current market price.
According to the brokerage report, “Mahindra & Mahindra delivered 15th consecutive quarter of double-digit EBITDA growth, with Dec-Q up 27% YoY, inline with Jefferies estimates.”
The brokerage noted that the company is benefiting from strong industry demand and market share gains in tractors, sport utility vehicles (SUVs), and light commercial vehicles (LCVs).
It added, “We fine-tune estimates and expect M&M’s core EPS to rise 30% YoY in FY26, followed by 15% CAGR over FY25-28E.”
Jefferies expects tractor volumes to rise 24% in FY26 and grow at a 5% CAGR over the next two years. The company also plans to add 100,000 units of tractor capacity by 2028.
In passenger vehicles, M&M’s market share has risen sharply in recent years, and the brokerage expects industry growth to remain steady. However, it cautions that the company’s ability to meet future Corporate Average Fuel Efficiency (CAFE) norms in 2027 while maintaining profitability remains a key risk.
Jefferies on Lenskart
Jefferies has also retained a ‘Buy’ rating on Lenskart with a target price of Rs 575. This translates to an upside of around 21%.
According to the brokerage report, “Lenskart delivered an exceptional quarter, with strong growth and smart margin expansion across India & international markets.” The brokerage highlighted that management is focusing on long-term growth rather than short-term margin maximisation.
It further said, “The company is evolving from an eyewear to an AI-powered eyewear plus data company.” Lenskart has been investing heavily in AI-driven tools, including remote optometry platforms that have expanded to 369 stores in India compared to 168 stores in March 2025.
The brokerage added, “We adjust our EBITDA estimates for FY26-28e and retain Buy rating with PT of Rs575.”
Jefferies on Embassy REIT
Jefferies has maintained a ‘Buy’ rating on Embassy Real Estate Investment Trust (REIT) with a revised target price of Rs 508. This indicates around 15% upside.
According to the brokerage report, “Embassy REIT management highlighted strong jump in rents across its key micro-markets on good demand conditions for quality office space in Bangalore and Mumbai.”
The brokerage noted that Distribution Per Unit (DPU) growth of 10% was in line with expectations, supported by 19% growth in Net Operating Income (NOI).
It stated, “We raise our estimate for Embassy REIT’s NAV to Rs508/unit (+6%) as we incorporate the higher market rent estimates.”
Conclusion
According to the brokerage report, these three stocks offer growth opportunities across automobiles, consumer retail and real estate segments.
Disclaimer: This article provides factual analysis only and is not, and should not be construed as, an offer, solicitation, or recommendation to buy or sell securities. Investors must conduct their own independent due diligence and seek advice from a SEBI-registered financial advisor.