1. CCL Products India:
Axis Direct maintains its ‘Buy’ rating on this tea & coffee company with a target price of Rs 820, indicating an upside potential of 17.6%. In Q2FY25 its net profit grew 21.5% YoY to Rs 74 crore beating Forecaster estimates by 6.3%, while its revenue rose 21.4% to Rs 738.7 crore, driven by approximately 10% volume growth during the quarter.
Analysts Preeyam Tolia and Suhanee Shome note that the domestic business generated Rs 105 crore, with Rs 70 crore from the branded segment; the company aims for Rs 300 crore in branded sales by FY25. Analysts also mention that the company is expanding beyond Southern India into new markets. The Vietnam plant is set to start freeze-dried coffee production by Q3FY25, with high initial utilization, while the Indian plant will begin operations within a month, targeting 30% utilization in year one, 60% in year two, and 80% thereafter.
Tolia and Shome highlight the company’s steady performance despite fluctuations in coffee prices. They project a net sales CAGR of 21.5% and EBITDA growth of 29.9% for FY25-27, considering the impact of higher coffee prices, increased depreciation, and rising interest costs.
2. KEC International:
Sharekhan retains its ‘Buy’ rating on KEC International with a target price of Rs 1,100, indicating an upside of 13.9%. This heavy electrical equipment company reported a net profit growth of 53% YoY to Rs 85.4 crore in Q2FY25, helped by reduced erection & subcontracting and finance costs, while its revenue increased 13.4% YoY to Rs 5,119.9 crore during the quarter.
Analysts note that the company’s year-to-date order intake jumped 50% YoY to Rs 13,482 crore, mainly from Rs 9,000 crore in Transmission & Distribution (T&D) and Rs 1,350 crore in Railways. Management expects 20% growth in the T&D segment for FY25, supported by faster execution while the Civil segment anticipates 30% growth on a Rs 10,000 crore order backlog. KEC's new aluminum conductor plant, set to start dispatches in November, is expected to enhance competitiveness in T&D.
Analysts are optimistic about the company’s growth, given its strong order book of around Rs 42,500 crore (including L1). The brokerage forecasts a 16% revenue growth over FY25-27, along with steady margin improvement.
3. Blue Jet Healthcare:
ICICI Securities maintains a ‘Buy’ rating on this pharmaceuticals company with a target price of Rs 600, indicating a potential upside of 15.8%. Blue Jet Healthcare reported revenue growth of 16.2% YoY to Rs 220.3 crore in Q2FY25, outperforming Trendlyne’s Forecaster estimates by 10.8%.
Analysts Sanjesh Jain and Mohit Mishra say, “Rise in revenue was partly impacted by rising goods-in-transit. But this was offset by the strong ramp-up in cardiovascular molecule supplies to innovators.”
Analysts notes that the contrast media segment fell 11.1% YoY, due to longer European delivery times. However, Blue Jet expects growth in this area by CY25. The company recently started producing a new molecule (product) with an 80 kilolitres (KL) capacity, with invoicing starting in the fourth quarter of FY25. The pharma intermediates (PI)/ active pharmaceuticals ingredients (APIs) segment grew 172.1% YoY, supported by a new facility at Ambernath, and is on track for peak utilization by FY25 end.
Jain and Mishra expect the company to grow revenue sharply with a good new product pipeline, and expect stable margins over the next two years. They project EBITDA growth of 31.2% in FY25 and 29.9% in FY26.
4. Endurance Technologies:
Motilal Oswal reiterates its ‘Buy’ rating on Endurance Technologies with a target price of Rs 2,825, indicating an upside potential of 17.8%. This auto parts and equipment manufacturer reported a net profit growth of 31.3% YoY to Rs 203 crore in Q2FY25. Revenue rose 14.8% to Rs 2.939.2 crore during the quarter. According to Trendlyne’s DVM scores it's a strong performer that is getting expensive.
Analysts Aniket Mhatre, Amber Shukla and Aniket Desai highlight that the company’s European business also performed well, with revenue increasing by 6.4% YoY to €66.9 million (approximately Rs 600.8 crore). Analysts note order wins in the first half of FY25 totaled Rs 310 crore. Expansion plans include a new alloy wheel plant with a 4.5 million unit capacity, set to launch by September 2025, which will help Endurance increase its two-wheeler (2W) alloy wheel market share to 25%. Management also aims to increase its share of the four-wheeler business from 25% to 45% by FY30.
Mhatre, Shukla, and Desai estimate a CAGR of approximately 14% in revenue, 17% in EBITDA, and 24% in PAT for FY25-27, driven by a recovery in key industries, including the domestic 2W and European PV sectors.
5. Blue Star:
BOB Capital Markets maintains a ‘Buy’ rating on this consumer electronics company with a target price of Rs 2,100, indicating a potential upside of 19.3%. Blue Star’s net profit rose 36.1% YoY to Rs 96.2 crore in Q2FY25. Revenue increased 20.6% YoY to Rs 2,294.5 crore during the quarter. Analyst Arshia Khosla highlights strong performance of the room air conditioner (RAC) segment in H1FY25, RAC volumes grew 53%. The company holds a 13.75% market share in RACs, with 50% of sales through modern retail formats.
The company is making progress in the commercial AC market, with a Rs 5,000 crore order book, fueled by sectors like data centers and commercial real estate. Blue Star is also expanding internationally, with successful shipments to the US, despite challenges in water cooler production and slowdowns in the European market.
Khosla expects a CAGR of 19% in revenue and 30% in earnings from FY25-27, driven by strong performance in the electro-mechanical projects (EMP) and unitary cooling products (UCP) segments, cost-saving initiatives, and enhanced operating efficiency.
Note: These recommendations are from various analysts and are not recommendations by Trendlyne.
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