News from trendlyne

1. AWL Agri Business:

This FMCG company, formerly known as Adani Wilmar, jumped 6% on Thursday after the Adani Group announced the sale of a 20% stake in the company to Wilmar International. With this stake purchase, Singapore-based Wilmar becomes the majority shareholder in the company. Adani Group plans to exit entirely by selling its remaining 10% stake to “a set of pre-identified” investors.

In Q1 FY26, the company reported YoY revenue growth of 20%, led by strong pricing in the edible oils segment. However, it missed Forecaster estimates by 5%, mainly due to lower volumes and exit from the government rice export business.

Higher input costs, especially for palm oil, weighed on profitability. Net profit declined 24% YoY in Q1, and EBITDA margin dropped to 2.1%. Addressing this, MD & CEO Angshu Mallick said, “We expect some improvement in demand starting July, with the onset of the festive season and easing raw material cost pressures, especially in palm.”

The company operates across three key segments—Edible Oils, Industry Essentials, and Food & FMCG. Although the edible oil segment brings in 80% of revenue, it contributed only 50% to total profit, highlighting its low-margin nature. In contrast, the Industry Essentials segment, which includes castor oil and oleochemicals, delivered 28% of profits from just 13% of sales, aided by near-full capacity utilisation. The Food & FMCG segment also added 21% to profits, despite accounting for only 8% of sales in Q1.

AWL Agri reported fairly substantial retail expansion, directly reaching customers via 8.7 lakh outlets. It saw 26% YoY growth in rural areas and 11% in urban markets. Mallick expects the Food & FMCG segment to “continue to grow in double digits given the expansion in product pipeline and distribution.” He adds that the company aims to generate Rs 10,000 crore in revenue from this segment by FY27, with rural growth playing a key role. 

ICICI Securities maintains a ‘Buy’ rating on the stock with a higher target price of Rs 360. The brokerage is optimistic about the company’s transition from a commodity-driven business to a more stable and profitable FMCG model. However, it also flags volatility in raw material prices and execution risks in scaling the branded food portfolio as potential headwinds.

2. Allied Blenders & Distillers (ABD):

This breweries & distilleries company rose by 8.1% over the past week. This surge followed the Maharashtra government's July 15th announcement of plans to issue 328 new wine shop licenses, a move set to increase licensed liquor outlets by 19% (from 1,713). This policy shift, which aims to boost state revenue, is expected to generate an additional Rs 14,000 crore annually in excise revenue. Allied Blenders & Distillers (ABD), having opened its second Maharashtra distillery in January and as India's third-largest Indian made Foreign Liquor (IMFL) company, is set to significantly benefit.

Despite Maharashtra's growing population, the number of licensed liquor outlets has remained static since the 1970s, leading to just 1.5 shops per lakh people—far below the national average of six. However, implementing changes faces significant challenges due to cultural opposition and bar association protests over hiked excise duties, creating an intense situation for these policy reforms.

For FY25, the company reported a 6.2% increase in revenue, driven by growth in its Prestige & Above (luxury) portfolio. Trendlyne Forecaster projects a 12.3% revenue growth in FY26, attributing it to the company's focus on expanding reach to other countries and premiumization efforts. The stock has also appeared on a screener of stocks which have outperformed their industry over the past month.

Alok Gupta, the Managing Director of ABD, expressed confidence in the company's future, stating, "FY26 will be a year of momentum, backed by positive consumer sentiment, stable input costs, and a supportive policy landscape. Growth in the super premium to luxury segment will be driven by rising disposable incomes and demand for experience-based consumption.” The anticipated UK Free Trade Agreement (FTA) may also reduce Scotch import duties.

According to Trendlyne’s Forecaster, 5 analysts have a consensus recommendation of “Strong Buy”, with an average target price of Rs 516.6. ICICI Securities projects moderate volume growth of about 3% CAGR for the company's mass premium segment from FY26-27. Realization growth, however, is expected to come from price increases.

3. Computer Age Management Services (CAMS):

Thismutual fund services company rose 2.9% on July 15 after Motilal Oswalraised its target price to Rs 5,000 and reiterated its ‘buy’ rating. CAMS is a prominent tech services player in the finance space – it handles the back-end operations for mutual funds and also offers digital services in insurance, payments, and investor verification (KYC).

India’s mutual fund industry hasgrown rapidly, from around Rs 25 lakh crore in mid-2020 to over Rs 74 lakh crore by June 2025, and is projected to cross Rs 130 lakh crore by FY30. As the main registrar that handles about 68% of industry assets, CAMS is likely to benefit from this growth. Higher mutual fund volumes means more transactions, investor accounts, and servicing needs, which would support steady revenue growth across CAMS’ core and allied services.

InFY25, its revenue grew 25.3% to 1,475.1 crore, while its net profit surged 33% to 470.2 crore. Strong growthcame from its continued leadership in the mutual fund registrar and transfer agent (RTA) segment, a 29% rise in equity assets under management (AUM), and a 51% jump in SIP registrations. CAMS alsoadded three new AMC mandates and its first international MF client, CeyBank Asset Management Company, a Sri Lankan AMC. Non-MF businesses, which contributed 14% of revenue, grew nearly 25%, led by CAMS KRA and CAMSPay.

While the core RTA business accounts for approximately 87% of its revenue, CAMS continues todiversify into non-MF segments to mitigate concentration risk.

One of the keychallenges for CAMS is a pricing reset with a major mutual fund client. The company reduced its service fees earlier than planned, as older pricing models based on physical processes no longer made sense in the digital age. This changecaused a Rs 14 crore revenue hit in the Q4 and a 4% drop in the fees CAMS earns from servicing mutual funds.

Anuj Kumar, Managing Director and Chief Executive Officer,said, “About half the pricing impact is already in the books (Q4). The remaining will flow through Q1 and Q2. After that, we expect to return to growth.”

Motilal Oswal remains positive on the stock, citing strong positioning and steady non-MF growth, but also flagged near-term margin pressure from the repricing impact. The brokerage expects non-MF revenue to grow 21% and MF revenue 9% annually over FY25-27.

4. Tata Technologies:

This IT software firm rose over 2% on July 15 as its Q1 FY26 revenue and net profit came in well above Forecaster estimates, despite a QoQ decline. Net profit dropped 9.8% and revenue declined 2.6%, mainly due to slower activity in core services as project ramp-ups were delayed and clients held back on spending. The product segment also saw weak growth because of the typical seasonal slowdown in the first quarter.

Tata Technologies’ core auto segment was affected by delays in project ramp-ups, especially from North American carmakers. These companies held back on R&D spending after the US announced higher tariffs on auto imports in April. They are now looking at shifting manufacturing operations to the US to avoid the tariffs. Since over 60% of Tata Tech’s revenue comes from the auto sector, this had a notable impact. However, the company saw signs of recovery in the second half of the quarter by closing six new deals, four worth over $10 million (~Rs 86 crore) each and two over $5 million.

Analysts believe the management's positive outlook comes from a stronger order book at the end of Q1 compared to last year. However, slowing global demand amid rising tariffs remains a concern for the auto segment's growth. Additional pressure from export restrictions of rare earth metal by China is weighing down growth.

Warren Harris, MD & CEO, said that tariff announcements in April created uncertainty, causing many clients to pause or delay their orders. He mentioned that while customer decisions were initially expected in April, they only came through by late June. This delay makes the company more confident about better performance in Q2 and the rest of the year. However, he added, “We don't anticipate a V-shaped recovery (quick and sharp rebound), in part because of uncertainty due to trade tensions.”

ICICI Securities has a ‘Sell’ rating on Tata Technologies with a price target of Rs 510. The brokerage expects revenue to decline by 1.5% in FY26, which is in contrast to the management’s aim of double-digit growth. It also pointed out that the stock’s high valuation amid slow recovery in the auto segment remains a key concern.

5. Glenmark Pharmaceuticals:

This pharmaceutical company rose 20% to a 52-week high of Rs 2,286.1 on July 11. The rally came after its subsidiary, Ichnos Glenmark Innovation (IGI), signed a licensing agreement with AbbVie for exclusive rights to commercialise its blood cancer drug ISB 2001 (myeloma), with a global market size of $27.5 billion in 2024.

The drug is currently in phase I trials. AbbVie will further develop, manufacture and market the drug worldwide. IGI will receive an upfront payment of $700 million (Rs 5,850 crore) from AbbVie following regulatory approvals. The company is also eligible to earn up to $1.2 billion (Rs 10,000 crore) from FY27 onwards as the drug reaches sales milestones. IGI will also receive double-digit royalties on sales generated by AbbVie.

Managing Director, Glenn Saldanha,said, “We plan to transition to an innovation-led business over the next five years in dermatology, respiratory, and oncology segments.” He emphasises that this deal with AbbVie supports the goal of increasing patented medicines revenue to 70% by 2030, up from 60%.

The company’s revenue rose 6.1% to Rs 13,435.4 crore in FY25, driven by growth in India and the European market, new product launches, and regulatory approvals. The net profit turned positive at Rs 1,047 crore, driven by lower raw material costs and a decline in tax expense, compared to a loss in the previous year.

Glenmark’s US revenue declined 5.4% in FY25 due to delays in regulatory approvals. Senior General Manager Utkarsh Gandhi expects an uptick in US sales, driven by the launch of respiratory and injectable products. The company expects revenue growth of up to 12% in FY26, supported by product rollouts in Russia, Brazil, Mexico, South Africa, and Southeast Asia regions.

Post the deal, Motilal Oswalreiterated a ‘Buy’ rating on Glenmark with a target price of Rs 2,430. The brokerage expects that the partnership with AbbVie will drive earnings for Glenmark in domestic and international markets. Over the past two years, Glenmark has strengthened its portfolio in the higher-margin oncology portfolio, which is supporting sales growth. The brokerage projects net profit to grow at a CAGR of 20% over FY26-27.

Trendlyne's analysts identify stocks that are seeing interesting price movements, analyst calls, or new developments. These are not buy recommendations

Capex, or capital expenditure, is typically a positive signal, indicating that the company is upbeat about its future and planning its next leg of growth. 

So capex growth forecasts by analysts are a useful proxy for industry optimism and future growth, and help justify current valuations. 

After several muted quarters in capex spending, a report by the Union Bank of India says that FY26 looks promising, with both fiscal consolidation and higher capex outlays. Capex in April-May FY26 rose 54% YoY to Rs 2.2 lakh crore (19.7% of the Rs 11.2 lakh crore annual target), indicating frontloaded government spending to boost demand.

Group CEO of Infomerics Valuation and Ratings, Shubham Jain, said, “India's economy is expected to grow at a rate of 6.3-6.8% in the next 12 to 18 months. This growth will be driven by strong domestic consumption and government-led infrastructure spending.”

In this edition of Chart of the Week, we look at the most dominant sectors, software & services, general industrials, utilities, and metals & mining, that turn up in a screener of stocks with high Forecaster capex growth estimates. 

Software & services sector ramps up AI, cloud investments

15 of the top 100 stocks with the highest capex forecasts are in the software & services sector. Research firm, Gartner estimates the industry to grow 11.1% to $161.5 billion in 2025. 

The sector has received strong deals in the cloud computing and artificial intelligence segments over the past two years. In 2024, Indian companies spent over $8.5 billion on public cloud services, with forecasts estimating it to reach $13 billion by 2026.

As of 2024, 65% of Indian IT services firms have integrated AI robotic process automation (RPA) into client offerings, with high demand from banking, financial services, and insurance (BFSI), manufacturing, and retail clients. This has prompted the software & services companies to ramp up the development of AI and cloud services, leading to higher capex spends.

IT consulting & software firms such as MphasiS, Tata Elxsi, Zensar Technologies, and HCL Technologies are among the major contributors to this trend.

Trendlyne’s Forecaster estimates MphasiS’ capex to surge 556.2% in FY26. The company’s deal pipeline consists of 65% deals in the AI segment in Q4FY25, up from 25% in Q4FY24. The management plans to invest in AI to enhance client experience while keeping the cost to serve low. This involves integrating AI directly into business operations, and continuing these investments regardless of the macro environment. 

Nitin Rakesh, Chief Executive Officer of MphasiS, said, “We will be focused on growing the deal pipeline and total contract value (TCV), with AI-led deals playing a bigger role. We plan to invest in our AI solutions while staying within our target margin band.”

Internet software company Just Dial has the highest capex growth estimate of 826.1% in the sector, while Tata Elxsi and Zensar Technologies are expected to see a capex growth of 356.9% and 296.6%, respectively. 

Software products developer Tata Technologies is estimated to increase its capex by 288.2%, while HCL Tech is expected to grow its capex by 199.8% in FY26. Both companies are also investing in AI and cloud computing services.

PLI push and rising utilisation drive industrial capex upswing

General industrials is seeing a sharp rise in capital investment. Backed by government initiatives like "Make in India" and PLI schemes, companies are actively setting up and expanding production facilities. A key trend driving this is improving capacity utilisation — existing plants are running closer to their full potential, which justifies further expansion.

The Economic Survey 2024-25 noted, "Manufacturing is resilient, with capacity utilisation above long-term averages, and private sector investment continues to grow steadily." Reflecting this momentum, 13 out of the top 100 stocks in our screener are from the general industrials sector.

HEG leads in capex growth estimates with a 418.2% rise expected in FY26, driven by its Rs 1,850 crore graphite anode plant. This electrodes manufacturer expects to maintain or slightly improve utilisation this year. Chairman and CEO Ravi Jhunjhunwala said, “We aim to keep utilisation at 80-85%, compared to an average of 50-60% of our international peers.”

Electrical equipment firm Hitachi Energy, preparing for India’s major grid expansion (from 400 GW to 900 GW), is putting a large part of its recent QIP funds toward factory upgrades, machinery, and infrastructure. Its FY26 capex is five times what it spent between FY20 and FY25.

Explosives company Solar Industries’ order book has jumped from Rs 2,600 crore in FY24 to Rs 13,000 crore in FY25. ICICI Securities expects the company to invest Rs 15,000 crore over the next five years as it scales up in defence orders. CEO Manish Nuwal noted, “Solar has signed a Rs 12,700 crore MoU with the Government of Maharashtra to invest in defence and aerospace,” adding that defence revenue will rise to "over 30% from the current 18%" driven by this capex.

Forecaster projects defence products maker Zen Technologies capex to grow by over 300% in FY26 to Rs 125 crore. However, the company missed the Forecaster estimates sharply for FY25 capex. CEO Ashok Atluri stated, “We’ve allocated Rs 70 crore for the R&D facility and another Rs 5 crore for equipment. We make budgets, but we spend when opportunities come up or when we see a gap in our products.”

Utilities sector capex surges on Government schemes

The utilities sector also features in the screener, with eight among the top 100 companies. The government has introduced several schemes to modernise the power distribution infrastructure and increase the share of renewable energy. Prime Minister Narendra Modi announced the ‘Panchamrit’ goals at the 26th UN Climate Change Conference (COP26) in Glasgow. 

Under Panchamrit goals, the government aims to achieve a renewable energy capacity of 500 gigawatt (GW) by 2030, with 50% of the energy requirement being met by renewable energy. 

Power infrastructure players like JSW Energy, Adani Power, and Techno Electric & Engineering are capitalising on the government’s push to modernise the energy sector. Techno Electric has the highest Forecaster capex growth estimates of 790.7% among utilities stocks in FY26. The company’s Director & CEO, Ankit Saraiya, in an interview with CNBC, announced a $1 billion (~ Rs 8,598 crore) investment plan to set up a total data centre capacity of 250 megawatt (MW) across India by 2030.

The company plans a capex of Rs 5,000 crore in FY25-26, with half of the capex assigned for smart meters and the remaining shared between expansion of data centres and tariff based competitive bidding (TBCB) power transmission projects.

Green energy firm ACME Solar Holdings is riding the government capex waves in the renewables sector, with Forecaster estimates capex growth of 308.8% in FY26. The company plans to invest Rs 17,000 crore to expand its renewable energy capacity to 5 GW in FY26. It aims to add new capacities in the hybrid and firm & dispatchable renewable energy (FDRE) segments. 

ACME Solar’s CEO, Nikhil Dhingra, said, “Our growth plan is not only focused on expanding solar capacity but also diversifying the project mix. Our under-construction projects include a mix of solar, wind, FDRE, and hybrid solutions. These projects have a short capex to revenue cycle, ensuring faster accretion of revenue and margin benefits.”

Forecaster projects JSW Energy’s capex to grow 227.8% in FY26. The company plans an investment of Rs 15,000-18,000 crore during the financial year to increase its renewable energy and energy storage capacity. 

Adani Power also shows up in the screener with Forecaster estimating a 192.1% increase in capex during FY26. This Adani Group company plans a capex of Rs 13,000 crore to increase its thermal power generation capacity to 30.7 GW by FY30. 

Metals & mining firms ramp up expansion, eye backward integration

Six out of the top 100 stocks belong to the metals & mining sector, which is currently witnessing strong capex activity as companies expand existing production and set up new integrated facilities. 

A key trend across the sector is the shift toward value-added products to boost profit margins. At the same time, companies are looking to cut operational costs through backward integration and better logistics, such as building slurry pipelines to reduce transportation expenses.

The plan to commission the cold-drawn pipe is driving Maharashtra Seamless’ capex growth estimate of over 1000%. The company, which manufactures steel products, is focusing its Rs 850 crore capex on this project, with machinery already ordered and expected to arrive later this year. Cold-drawn pipes are high-precision pipes used in sectors like oil & gas and automotive. The company expects this expansion to boost its annual turnover by Rs 1,900 crore.

Mining firm Lloyds Metals & Energy plans to invest around Rs 6,000-6,500 crore in FY26 and over Rs 7,000 crore in FY27. Managing Director Rajesh Gupta said, "The ongoing capex is heavily geared towards backward integration," referring to key projects such as a pipeline to move raw materials more efficiently, a facility to make sponge iron, and its own power plant—all of which are close to completion.

Non-ferrous metals processor Gravita has planned a Rs 1,500 crore capex through FY28, including Rs 1,000 crore for expanding current operations and Rs 500 crore for entering new areas such as lithium-ion battery recycling, paper, rubber, and steel.

Prime Minister Modi and US President Trump have something in common: they both like taglines and punchy names. The Big Beautiful Bill, Atmanirbhar, Acche Din, Make America Great Again. So when they got together in February this year, it was inevitable that they would come up with a new catchphrase for the future India US trade relationship - the US-India COMPACT ("Catalysing Opportunities for Military Partnership, Accelerated Commerce & Technology").

Coining the phrase was the easy part. Actually reaching a compact or trade agreement, has turned out to be a bit tricky. From the argument over US exports of "non veg milk" - where American dairy cows are fed meat and blood products - to opening up India's agri sector to genetically modified US crops, there have been many disagreements.

Combine this with Trump having one hammer for many nails, threatening tariffs for nearly every political issue - like 500% tariffs on India for importing Russian oil - and a trade deal becomes even harder.

No surprise then that the US, despite promising "90 deals in 90 days" in April, has only been able to strike deals with the UK and smaller countries like Indonesia and Vietnam.  

Trump has complained that India is “the highest tariffed nation anywhere in the world.” And while this is a man with a tendency to exaggerate ("I'm a very stable genius", anyone?), India does charge high tariff rates, averaging around 12% on imports compared to 6% in Thailand, 5% in Vietnam, 3% in China and 2% in Japan.

So these two sides both claim unfair demands from the other, but are working to find common ground. How much does this deal matter to India?

In this week's Analyticks:

• (Maybe) on the brink of a deal: How much does India need a deal with the US?
• Screener: Stocks with the highest merchandise exports to the US

For India, the US is a heavy hitter as a trading partner

Years ago, a study found that Gujaratis had settled in 129 of the world's 190 countries. There were Gujarati families in Nauru, a Pacific Island country of 9,000 people, and Gujaratis working in the diamond mines of Yellowknife, a distant town in northern Canada. But while many millions of Indians are migrants, settling everywhere from the UK to Botswana to Kuwait, India has policy-wise been an inward looking country. Besides software, our country's industries stayed domestically focused while our rival China pushed its exports across the world. 

The attitude has changed in recent years, with the government pushing for trade deals with the UK, EU, Australia and other major countries, and providing significant incentives to exporters. Merchandise exports have grown steadily,  but services growth, thanks to software exports, have still outperformed overall. 

There is little doubt that India got a big export boost after China originated the Covid pandemic, and countries reconsidered their over-dependence on Chinese products. But India has yet to fully take advantage. One notable exception here has been in mobile exports. 

From Apple phones to HP laptops, a lot of electronics are being increasingly assembled in India instead of China. Nearly 18% of India's total merchandise exports go to the US. And electronics, pharma, textiles are big export segments to the US. 

The US for example accounts for nearly one third of India's total electronics exports, and nearly 20% in pharma. 

For these dominant sectors, having lower tariff rates would make India more competitive and boost an existing advantage. A Niti Aayog report published earlier this month, noted that major exporter economies like Canada and China have been slapped with high US tariffs in the range of 30-35%. This already gives India a relative export advantage in 78 products that make up 52% of India’s exports to the US. These include electronics, mineral fuels, apparel, plastics and furniture, worth in total of $1,265 billion.

 The government is eyeing this as a major opportunity, and considering new PLI schemes for these industries, as well as lower setup and electricity costs for manufacturers.

But a US-India trade deal would supercharge this advantage.

The last round of India–US trade talks ran from June 26 to July 2. The Indian team is now again back in the US, trying to hammer out a deal. A favourable deal for Indian sectors like textiles, gems and jewellery, garments, plastics and chemicals, could dramatically increase exports for domestic manufacturers in these segments, and boost job growth. 

So while India's ministers like Piyush Goyal have talked tough, saying India won't negotiate on a deadline, everyone is watching a clock that ticks towards August 1, when the tariffs kick in. 

Screener: Stocks with the highest merchandise exports to the US

Largest merchandise exporters to the US

As we move closer to the August 1 deadline set by President Trump for import tariffs to take effect, India is reportedly close to finalising a trade deal. The US is India’s largest export market, with a trade surplus of $41.2 billion generated in FY25. In this screener, we look at stocks with the highest merchandise exports to the US.

The screener consists of stocks with significant merchandise exports to the US. These stocks come from the pharmaceuticals, auto parts & equipment, gems & jewellery, consumer electronics, agrochemicals, and textiles industries. Major stocks in the screener are Reliance Industries, Titan, Sun Pharma, Hindalco Industries, Samvardhana Motherson International, Dixon Technologies, Glenmark Pharma, PI Industries, and UPL. 

President Trump warned about imposing a 200% import tariff on Indian pharmaceutical companies on July 9, after giving them 12-18 months to set up manufacturing facilities in the US. The Indian pharma industry generated $9 billion (~ Rs 76,831 crore) in sales from the US. Sun Pharmaceutical Industries and Glenmark Pharma were among the largest contributors. Sun Pharma reported a $1.9 billion (~Rs 16,330 crore) revenue from the US in FY25, contributing 30% of the company’s total revenue. Glenmark Pharma generated Rs 3,017.2 crore from the US in the same period, approximately 22.9% of its total revenue.

The agrochemicals industry also faces potential risks from Trump tariffs. In FY25, the industry generated $5.7 billion (~ Rs 48,978 crore) in revenue from sales to the US. UPL and PI Industries are among the largest exporters of chemicals to the US. UPL generated $728 million (~ Rs 6,060 crore) in sales from the US, contributing to 13% of its total revenue. Meanwhile, PI Industries reported $405 million (~ Rs 3,359 crore), contributing to approximately 42% of its total revenue.

You can find some popular screeners here.

1. Ujjivan Small Finance Bank:

BoB Capital Markets initiates coverage on this bank with a ‘Buy’ and a target price of Rs 59, an 18.8% upside. The bank is focusing on de-risking its balance sheet with a shift towards secured lending. This is reflected in the rising share of secured loan disbursements, to 40% in FY25 from 24% in FY24. 

Within the unsecured portfolio, the bank has moved towards higher-yielding individual loans (IL), over the past year. Analysts Niraj Jain and Vijaya Rao expect the bank’s advances to grow at a 19% CAGR over FY26–FY27, driven mainly by growth in the secured and IL segments.

Ujjivan’s asset quality remains better than its peers, with a gross NPA ratio of 2.2% as of March 2025, down 50 bps from the previous quarter. While slippages rose sharply during the year, most of them came from the microfinance (MFI) portfolio. This suggests that the asset quality of the secured, non-MFI portfolio has stayed largely healthy.

Jain and Rao expect credit costs to improve as stress in the MFI portfolio appears to have peaked. However, they believe credit costs may remain high in H1FY26, with a gradual normalisation expected in the second half. They expect this moderation in credit costs, once it happens, to be a key driver for improvement in the bank’s return metrics.

2. Gabriel India:

Anand Rathi initiates coverage on this auto parts company with a ‘Buy’ rating and target price of Rs 1,400, a 28% upside. Analysts Mumuksh Mandlesha and Shagun Beria expect Gabriel’s restructuring plans to merge its private automotive companies into Gabriel, increasing its revenue to Rs 8,100 crore from Rs 4,089 crore in FY26.

In FY25, its revenue grew by 8.9% to Rs 3,643.3 crore, supported by higher sales in two-wheelers and utility vehicles (UV). Analysts note that the company holds a dominant 70% share in EV automobile suspensions and expect strong growth from its rising passenger vehicle market share. They estimate revenue and net profit to grow by 22% and 53%, respectively, over FY26–27.

Analysts note that Gabriel has partnered with Inalfa Roof Systems, a supplier of automotive roof systems, to manufacture sunroofs, and expect this partnership to contribute revenue of Rs 10,000 crore by FY29. MD Atul Jagginotes, “The sunroof business is experiencing strong demand, supported by the higher sales of UVs and new vehicle launches. We plan to double sunroof production capacity in the second half of FY26 and expand the product portfolio.”

3. KEC International:

Axis Direct maintains a ‘Buy’ rating on this heavy electrical equipment firm with a target price of Rs 950, an 8.1% upside. The company has an order book worth over Rs 44,639 crore, with 61% from power transmission and distribution (T&D) and the remaining from other segments. Management expects total order inflows of Rs 30,000 crore during FY26, providing revenue visibility for the next 6 to 8 quarters. The company has guided for 15% revenue growth in FY26.

KEC International’s EBITDA margin stood at 6.9% in FY25 and is expected to improve going forward, supported by the execution of international T&D projects and other high-margin assignments. Management has guided for margins in the range of 8% to 8.5% in FY26. Analysts Uttam Srimal and Shikha Doshi project margins to further rise to 9% by FY27.

The stock has declined by 7.5% over the past six months as it has missed revenue estimates for the last two quarters, raising concerns over execution despite a strong order book. However, analysts are positive on KEC International, noting that the government is steadily increasing spending on infrastructure. They project a 55% net profit CAGR over FY26–FY27.

4. Larsen & Toubro (L&T):

Ventura initiates a ‘Buy’ rating on this construction company with a target price of Rs 4,448, a 27.3% upside. In FY25, revenue increased by 15.3% and profit rose by 15.1%, helped by higher order inflows and strong project execution.

Analysts note that rising government spending on rural and urban development, along with private spending on capacity expansion, is driving strong order inflows for L&T and supporting its expansion in the Middle East and North Africa (MENA) region. L&T’s order book nearly doubled from FY19 to Rs 5.8 lakh crore in FY25, supported by hydrocarbons, green energy, and power projects. Analysts project the order book to grow to Rs 8.9 lakh crore by FY28.

For FY26, management aims to achieve an order pipeline of Rs 19 lakh crore—a 57% growth over FY25—supported by new opportunities in the Middle East, where L&T has seen a steady stream of orders, and the South Asian Association for Regional Cooperation (SAARC) regions. Analysts expect L&T’s revenue and net profit to grow by 13.5% and 20.4%, over FY26–28.

R. Shankar Raman, CFO, notes, “Qatar, Saudi Arabia, the United Arab Emirates, and Kuwait are key international markets for L&T in terms of order inflow. In FY25, we secured 25% of international orders from the Saudi Arabian market, driven by higher capital expenditures from the governments of Saudi Arabia and the United Arab Emirates.” He also mentions that for FY26, they aim to achieve 60% of international revenue, up from 50%.

5. SRF:

Motilal Oswal reiterates a ‘Buy’ rating on this specialty chemical company with a target price of Rs 3,700, a 14.7% upside. Analysts Sumant Kumar and Meet Jain note that the company plans to incur capital expenditure (capex) of Rs 2,200–2,300 crore to expand its chemical production capacity, launch three new fluoropolymers, and increase packaging film capacity at its Indore facility.

Management expects strong performance in FY26, helped by a healthy order book in specialty chemicals, rising exports, and higher polytetrafluoroethylene (PTFE) sales in the fluorochemicals segment. The speciality chemicals business delivered an 18% CAGR in revenue over the past decade, and management projects 20% growth in FY26, driven by the ramp-up of newly commissioned facilities.

Analysts expect SRF's packaging business to benefit from the temporary closure of Jindal Poly’s manufacturing facility in Nashik following a fire outbreak, as well as the increased supply gap in the industry and the ramp-up of its aluminium foil capacity. They estimate SRF’s revenue and net profit to grow by 12% and 16%, respectively, over FY26–27.

Note: These recommendations are from various analysts and are not recommendations by Trendlyne.

(You can find all analyst picks here)