The domestic equity markets ended the week on a lower note as crude oil prices topped $100 a barrel. The Nifty 50 closed the week 1.75% lower, while the BSE Sensex ended the week 1.95% lower.
Several top research houses, including Goldman Sachs, Nomura, Jefferies, Nuvama Institutional Equities, Emkay Global, and Motilal Oswal, shared their latest recommendations for key stocks as markets dropped, and we shortlisted 10 stocks across sectors.
Nomura on IndusInd Bank
Nomura has maintained its Buy rating on IndusInd Bank and raised the target price to Rs 1,145 from Rs 1,000, implying an upside of 7% from the current market price. While upgrading earnings to 9% for FY27 and 4% for FY28, the brokerage said, “Cost discipline now, margin recovery later.”
The change in multiple is driven by a higher RoE outlook on IndusInd Bank.
“We raise our FY27 loan and deposit growth estimates to 15% and 13% (from 13% and 10%), lifting FY27 and FY28 earnings by 9% and 4%, respectively, on lower opex, even as the brokerage trims NIM by 13 bps and 18 bps,” said Nomura.
Jefferies on Eternal
Jefferies retained its ‘Buy’ rating on Eternal (Zomato), and raised its target price to Rs 415 from Rs 400, implying an upside of about 45%. Jefferies said the biggest takeaway from management’s commentary was not the quarterly numbers but the confidence with which Eternal addressed competition in quick commerce.
According to the brokerage, Eternal’s management described aggressive discount-led competition as a “systemic trap”, arguing that companies eventually reach a point where they have to choose between growth and profitability.
Nomura on Infosys
Nomura has retained its ‘Buy’ rating on Infosys, while slightly reducing its target price to Rs 1,290 from Rs 1,300. The report noted that revenue growth during the June quarter fell short of expectations due to softer client volumes, lower pricing improvements and the impact of a major client programme termination.
Even after Infosys cut guidance, Nomura highlighted that Infosys has maintained its 20-22% Earnings Before Interest and Taxes (EBIT) margin guidance for FY27. The brokerage also believes the planned leadership transition appears well structured. It noted, “Smooth CEO transition remains a key monitorable.”
Nuvama on IndiGo
Nuvama Institutional Equities maintained its ‘Buy’ rating on IndiGo and raised the price target to Rs 5,583 from Rs 5,335, implying an upside of 11%. This uptick in the target price came despite the company missing estimates.
Nuvama said that Indigo’s Q1 EBITDAR missed consensus estimates by 29% on elevated fuel costs, partly offset by higher yield, which was up 21% YoY. Seasonally soft Q2 to be even weaker on higher ATF (Aviation Turbine Fuel), flat ASKM (Available Seat Kilometres) partly offset by higher PRASK (Passenger Revenue per Available Seat Kilometre), which was over 25% YoY, and VAT cut on ATF in Delhi and Maharashtra.
Motilal Oswal on Sunteck Realty
Motilal Oswal has reiterated its ‘Buy’ rating on Sunteck Realty with a revised target price of Rs 490. This indicates a potential upside of nearly 69%. The company’s pre-sales increased 20% year-on-year during the June quarter.
This was largely driven by premium and luxury housing demand. The brokerage expects this momentum to continue as Suntech Realty prepares multiple project launches across Mumbai and surrounding regions.
Nomura on Nestle India
Nomura maintained a ‘Buy’ rating on Nestle India and raised the price target to Rs 1,675 from Rs 1,500. This rise in price target came a day after the FMCG conglomerate reported a set of robust Q1FY27 earnings.
“We value Nestle India at an unchanged P/E of 65x, in line with its eight-year trading average of Q1FY29 EPS (Q4FY28 previously). We forecast an FY26-FY29 EPS growth of 18.5% annually over it,” said Nomura. “We raise FY27 and FY28 EPS by 8.5% and 7% to factor in the beat.”
Goldman Sachs on Sansera Engineering
Goldman Sachs initiated coverage on Sansera Engineering with a ‘Buy’ rating and a 12-month target price of Rs 4,130, implying 28% upside.
The brokerage believes Sansera Engineering is entering the “harvesting phase” after nearly a decade of investments to diversify beyond conventional automotive components into semiconductor wafer fabrication equipment and aerospace precision machining. It expects the company’s increasing exposure to complex precision-engineered products to improve both earnings quality and profitability.
Jefferies on Reliance Industries
Jefferies retained its ‘Buy’ rating on Reliance Industries and raised its target price to Rs 1,705 from Rs 1,675, implying an upside of 28%. According to Jefferies, Reliance Industries delivered consolidated Earnings Before Interest, Taxes, Depreciation and Amortisation broadly in line with expectations during the June quarter.
The brokerage said upstream operations exceeded its estimates, while the oil-to-chemicals business came in marginally below expectations. The retail business remained the weak spot during the quarter as core retail growth slowed and margins declined because of investments aimed at expanding hyperlocal commerce.
Motilal Oswal on Indian Hotels Company
Motilal Oswal has reiterated its ‘Buy’ rating for Indian Hotels Company with a target price of Rs 870, indicating an expected upside of almost 19% from current levels. This confidence from the brokerage house came after the hospitality sector stock reported earnings in line with estimates.
The brokerage firm expects Indian Hotels to achieve 12-14% revenue growth in FY27, driven by sustained domestic travel demand, strength in leisure destinations, and a significant room pipeline of 32,500 keys (81% of which are asset-light).
Emkay Global on SBI Funds Management
Emkay Global initiated coverage on SBI Funds Management with a ‘Buy’ rating and a price target of Rs 750, implying 31% upside from the IPO allotment price of Rs 574.
The brokerage house said that the target multiple on SBI Funds Management is broadly in line with large peers such as ICICI AMC and Nippon Life India Asset Management. SBI’s brand, distribution, and under-penetration among SBI Bank customers present SBI AMC with a runway that supports higher growth over a longer period, hence commanding a premium valuation.
Conclusion
The recommendations point toward strong business fundamentals, quarterly performance, sector-specific growth drivers, and a change in business model. As the broader market sentiments are turning, leading brokerages identified opportunities across sectors such as AMC, FMCG, aviation, hospitality, IT, and others.