Wall Street brokerages are identifying investment opportunities in Indian stocks across sectors including banking, consumer goods, cement, eyewear, infrastructure, and power. New price targets have been established for companies such as State Bank of India, UltraTech Cement, Emami, Lenskart, and others.
State Bank of India remains a top recommendation, with Jefferies maintaining a Buy rating and setting a price target of ₹1,320. The bank’s leadership has stated that economic conditions are stable despite concerns, with a focus on steady loan growth and profitability. Jefferies forecasts loan expansion of 13-15% and a return on equity exceeding 15%, supported by a return on assets above 1%. The firm highlights SBI’s scale and cost advantages as key strengths for sustained performance.
Lenskart is also drawing attention, as Jefferies emphasizes the company’s strategy to expand vision correction services on a large scale. Chairman Peyush Bansal has noted that eyewear adoption in India remains limited, creating long-term growth potential. The company’s strengths include customer-centric operations, technology integration, and full control over its supply chain. International expansion is viewed as beneficial, with global experience expected to enhance domestic operations. Improved margins are anticipated as economies of scale become more pronounced.
Cement and power sectors lead growth bets
UltraTech Cement continues to attract focus, with Jefferies reaffirming a Buy recommendation and a price target of ₹1,406.5. Management reported stronger-than-expected demand across all segments, reinforcing the brokerage’s outlook for 7-8% industry growth over the next three to five years. The company aims for double-digit volume increases and market share gains, though additional price adjustments may be necessary to counter inflationary pressures. Past investments in operational efficiency are expected to enhance return on capital employed and earnings growth.
Torrent Power’s outlook has improved, as Jefferies raised its price target to ₹1,780. The company plans to add 3 GW of pumped storage capacity by fiscal 2029, though transmission infrastructure delays are slowing project timelines. Evacuation challenges persist in the short term, but the firm projects a 13% EBITDA compound annual growth rate over fiscal years 2026 to 2030, driven by a 36% growth rate in renewable energy EBITDA. Current valuations do not fully capture the upside potential.
In the power transmission sector, Hitachi Energy is seen as a multi-year growth opportunity in India. Jefferies maintains a Buy rating with a price target of ₹45,790. Management has highlighted rising demand for transmission and distribution infrastructure, along with opportunities in battery energy storage systems and data centers. The brokerage expects earnings per share to grow at 54% annually through fiscal year 2029, supported by increasing service revenue share.
Consumer goods and airports show mixed trends
Consumer goods company Emami is gaining investor interest, with Goldman Sachs maintaining a Buy rating and a price target of ₹625. The company’s chief growth officer outlined plans for 20-30% annual growth, with core business segments expected to improve in fiscal year 2027. Valuations at 18 times fiscal 2028 earnings are noted as 50% below peer averages, suggesting potential for a re-rating.
Airport operator GMR Airports reported mixed passenger traffic in August, with overall growth of 0.9% to 9.4 million passengers, driven by a 2.7% increase at Delhi Airport. However, Hyderabad traffic declined by 11.5% due to regulatory challenges. Macquarie maintained an Outperform rating with a price target of ₹120, citing operational improvements at Bhogapuram Airport, which began operations in mid-August.
In commercial real estate, Bagmane Prime Office REIT received an Add rating from Kotak Securities, with a price target of ₹118. The REIT’s six grade-A office assets in Bengaluru’s high-demand areas are projected to deliver a 12.6% net operating income growth rate through fiscal year 2030. Risks include potential occupancy declines and regional market concentration.
