Motilal Oswal has issued Buy ratings on Bharti Airtel, Hyundai Motor India, Laurus Labs and Cummins India. The brokerage’s assessment is backed by direct management interactions, points to a tariff-driven free cash flow surge at Bharti, a product launch-led earnings recovery at Hyundai Motor India, and a data centre-powered growth cycle at Cummins India.
Motilal Oswal on Bharti Airtel: ‘Buy’
Motilal Oswal Financial Services has set a target price of Rs 2,355 on Bharti Airtel, implying an upside of approximately 25% from current levels, with a bull case of Rs 2,875 and a bear case of Rs 1,810 framing the longer-term risk-reward picture.
The brokerage has maintained its ‘Buy’ rating even after Bharti’s stock corrected roughly 6% following the announcement of its NBFC foray, which involved an overall outlay of Rs 2,000 crore with Bharti contributing 70% of that amount.
“Capital allocation remains the key driver of Bharti’s long-term stock price performance, and these concerns have resurfaced following the company’s recent announcement of its NBFC foray. We believe the promoters’ past track record on capital allocation has been stellar,” the firm added.
“With likely stable core capex trends and a potential tariff hike, Bharti could deliver approximately Rs 13,000 crore in free cash flow in FY26-28, with the company potentially turning net cash excluding leases by FY28,” said Motilal Oswal Financial Services/
Motilal Oswal on Hyundai Motor India: ‘Buy’
Motilal Oswal Financial Services has set a target price of Rs 2,567 on Hyundai Motor India, implying an upside of approximately 19% from current levels, with the valuation based on 27 times the company’s estimated December 2027 earnings per share.
The brokerage maintains a ‘Buy’ rating after a direct interaction with management, which pointed to retail demand holding up well across both small cars and SUVs even in February 2026, with compact and micro-SUVs continuing to outperform the broader passenger vehicle segment.
Motilal Oswal expects Hyundai Motor India to post a 12% compound annual earnings growth over FY26 to FY28, supported by a combination of new model launches, export volume gains, and gradual margin recovery as the start-up costs from the new Pune plant get absorbed over time.
“The new Venue has been well received in the market and has an order backlog of 83,000 units, thereby claiming a waiting period of about 10 to 14 weeks,” said Motilal Oswal.
Motilal Oswal’s note points to two additional growth drivers that the market may be underweighting. The first is Hyundai Motor India’s entry into the commercial mobility segment through the launch of the Aura and i10 models, targeting fleet operators with warranties covering the fourth and fifth year or up to 1,80,000 kilometres and flexible financing of up to 72 months.
Motilal Oswal on Cummins India: ‘Buy’
Motilal Oswal Financial Services has set a revised target price of Rs 5,500 on Cummins India, implying an upside of approximately 12% from current levels, with the valuation based on 45 times the company’s estimated March 2028 earnings per share a multiple that has been deliberately raised from the earlier 42 times to reflect the stronger data centre demand outlook and the company’s established leadership in supplying high-horsepower generator sets for that segment.
The brokerage maintains a ‘Buy’ rating after a management interaction and has revised its FY27 and FY28 earnings estimates upward by 5% and 7% respectively to bake in better demand across the high-horsepower, distribution, and export segments along with correspondingly improved margins from a richer product mix.
“We reiterate our positive stance on Cummins India post our recent meeting with the management. The company continues to benefit from healthy demand momentum in powergen, coupled with strong growth opportunities from fast-growing data centre market, Motilal Oswal added.
“The data centre market demand is being driven by colocation as well as hyperscalers. The company expects this demand momentum for product as well as project businesses to sustain going forward, supported by increasing investments toward data centres, added Motilal Oswal Financial Services.
“Management sees sustained growth in the distribution business with a widening asset base and increasing rebuild opportunities as engines age,” said Motilal Oswal Financial Services.
Motilal Oswal Financial Services on Laurus Labs: ‘Buy’
Motilal Oswal Financial Services has reiterated a ‘Buy’ rating on Laurus Labs with a target price of Rs 1,280. Based on the current price of Rs 1,076 mentioned in the report, this implies an upside of about 19%.
The brokerage said Laurus Labs delivered stronger execution relative to peers, supported by scale-up in the CDMO and formulation segments. It noted that the company reported around 30% YoY growth and about 26% EBITDA margin in 9MFY26.
Motilal Oswal Financial Services said, “The company’s superior growth trajectory reflects prior capacity creation and elevated CDMO capex (INR39b FY22–26; ~78% toward CDMO/API), enabling the faster conversion of pipeline opportunities compared to peers.”
The brokerage expects Laurus Labs to end FY26 with PAT of Rs 850 crore and model a 16% CAGR over FY26–28, reaching Rs 1,150 crore. It values the stock at 62x 12-month forward earnings to arrive at its target price of Rs 1,280 and has reiterated ‘Buy’.
Conclusion
Taken together, Motilal Oswal’s latest research on Bharti Airtel, Hyundai Motor India, and Cummins India reflects a clear preference for companies with identifiable, near-term earnings catalysts rather than those dependent on broad economic tailwinds.
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.