The markets have been cautious for the past session. The big question now is what are the stocks to watch at the current juncture. A fresh set of brokerage calls by Nuvama is putting three names back in focus, Mindspace Business Parks REIT, ICICI Lombard General Insurance Company and Prestige Estates Projects, each backed by developments that are already feeding into earnings visibility. Nuvama Research has reiterated ‘Buy’ ratings on all three, with target prices implying an upside ranging between 11% to 40% from current levels.
Mindspace is expanding its office portfolio through Chennai acquisitions that could lift rental income over time, ICICI Lombard is tightening its underwriting while sustaining growth in retail health, and Prestige Estates is coming off its strongest ever pre sales year with collections keeping pace.
The brokerage report and the investment rationale therein is based on trends sustaining rather than turning, with execution over the next few quarters expected to drive the next leg of gains.
Nuvama on Mindspace Business Parks REIT: ‘Buy’
Nuvama Research has maintained a ‘Buy’ rating on Mindspace Business Parks REIT with a target price of Rs 529, implying an upside of about 11% from the current price of Rs 477. The brokerage builds its case around recent acquisitions in Chennai that are expected to add scale and improve earnings over time.
The report notes that the REIT has acquired two office assets totalling about 5.2 million square feet along the Pallavaram Thoraipakkam Road. These transactions are set to increase the overall portfolio size to around 44.2 million square feet from about 39 million square feet as of the end of the third quarter of financial year 2026.
Nuvama estimates that on a pro forma basis, net operating income is likely to rise to around Rs 393 crore, translating into growth of about 15.5%. The brokerage also factors in a gradual ramp up in occupancy across these assets, with roughly 37% of completed space currently vacant and expected to be leased by the second half of financial year 2028.
The note points out that while distributions per unit may see some near-term pressure due to the timing of leasing and higher leverage, the medium-term outlook remains constructive. The loan-to-value ratio is expected to move to 30.3% from 25.6% post-acquisition, while the company is raising about Rs 670 crore through a preferential issue to part-fund the deal.
“The acquisitions are likely to be DPU dilutive initially; nevertheless, they are likely to create value over the medium term given healthy mark to market potential,” Nuvama Research said in its report.
The brokerage also expects a distribution per unit compound annual growth rate of about 9% between financial year 2025 and financial year 2028, supported by improving office demand and leasing traction.
Nuvama on ICICI Lombard General Insurance: ‘Buy’
Nuvama Research has retained a ‘Buy’ rating on ICICI Lombard General Insurance with a target price of Rs 2,350, suggesting an upside of about 26% from the current price of Rs 1,858. The brokerage’s view is anchored in improving operating metrics and steady growth in key segments.
The report highlighted that gross direct premium income rose to Rs 7,340 crore from Rs 6,211 crore in the fourth quarter of financial year 2025, marking a growth of 18.2% year on year. This was driven largely by strong traction in the retail health segment and recovery in motor insurance.
At the same time, profitability metrics have shown improvement. The combined ratio eased to 101.2% from 102.5% over the same period, supported by lower loss ratios in motor and health segments. Net profit after tax increased to Rs 547 crore from Rs 510 crore year on year in the fourth quarter, even as it declined sequentially.
Nuvama had marginally revised its earnings estimates upwards for the next two years, factoring in better underwriting trends and stable investment income. The brokerage also notes that growth momentum seen in the second half of financial year 2026 is expected to continue into the first quarter of financial year 2027.
The Nuvama note added that while competition remains intense in some segments, regulatory actions and pricing adjustments could help improve margins going ahead. The company’s ability to maintain growth in retail health and manage claims ratios remains central to the investment case.
Nuvama Research on Prestige Estates Projects: ‘Buy’
Nuvama Research continues to rate Prestige Estates Projects as ‘Buy’ with a target price of Rs 1,830, indicating an upside of about 40% from the current price of Rs 1,305. The brokerage’s stance is driven by strong pre-sales momentum and improving execution.
The company reported pre-sales of about Rs 7,700 crore in the fourth quarter of financial year 2026, up 10% year on year, supported by project launches across Bengaluru. For the full year, pre sales reached about Rs 30,020 crore, rising 76% year on year, marking the highest annual performance for the company.
Collections have also kept pace, with quarterly collections rising to Rs 5,200 crore, while annual collections stood at Rs 18,500 crore, both reflecting strong demand and execution. Occupancy across the office and retail portfolio remains firm at about 92% and 99% respectively.
Nuvama noted that launches during the year covered about 31.8 million square feet, with a gross development value of roughly Rs 27,350 crore, providing visibility for future sales. The company has also seen steady improvement in realisations, with average prices moving higher across segments.
“FY26 pre sales were its highest ever, backed by strong launches and healthy demand across key markets,” Nuvama Research said in its report.
The brokerage, however, factored in some moderation risks due to broader housing demand trends and geopolitical factors, which have led to a higher cost of capital assumption. Even so, the scale of launches and pipeline visibility support its positive view.
Conclusion
Across these three stocks, Nuvama Research is backing earnings growth driven by specific triggers rather than broad sector calls. Mindspace Business Parks REIT is building scale through acquisitions that are expected to pay off over time, ICICI Lombard General Insurance is seeing improving operating ratios alongside steady premium growth, and Prestige Estates Projects is riding a strong sales cycle backed by launches and collections.
Disclaimer: Investing in stocks, REITs, and insurance sectors involves significant market risk. The price targets and ‘Buy’ ratings mentioned are based on Nuvama Research’s analysis and do not constitute an offer or solicitation by this publication. Investors are advised to consult a SEBI-registered investment advisor before making any financial decisions, as actual returns may vary based on market conditions, execution risks, and regulatory changes.
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