PN Gadgil, Anant Raj, IPCA Labs, among 9 stocks that saw brokerage initiations with up to 30% upside

Select buzzing stocks including IPCA Laboratories, Jyoti CNC Automation, Epack Durables, Capital Global Capital, Anant Raj, Juniper Hotels, PG Electroplast, PN Gadgil Jewellers and Apeejay Surrendra Park Hotels have seen fresh interest from the various brokerage firms, who have recently initiated their coverage on these companies.

Domestic brokerages including HDFC Securities, Anand Rathi Shares & Stock Brokers, LKP Securities, Systematix Institutional Equities, Emkay Global Financial Services, IDBI Capital, JM Financial, Equirus Securities, Motilal Oswal Financial Services. All of these stocks have 'buy' or 'long' ratings with an upside potential of up to 30 per cent. Here's what brokerage said on these stocks:

Motilal Oswal Financial Services on PN Gadgil Jewellers  
Rating: Buy | Target Price: Rs 950 | Upside: 25%
PN Gadgil Jewellers (PNG) is the second-largest jewelry retail chain in Maharashtra. PNG is among the few jewelry companies that are rapidly expanding their store presence. PNG is also enhancing its studded mix and is actively seeking to further improve this mix in the coming years. Maharashtra is already a favorable market for studded products, said Motilal Oswal Financial Services.

"We initiate coverage on the stock with a 'buy' rating and a target price of Rs 950. The successful execution of store rollouts, gold hedging policy, and an improvement in operating margin will be the key catalysts for re-rating of the stock," it said, adding volatility in gold prices, the operating performance of new stores; and intensified competition as key downside risks.

Equirus Securities on PG Electroplast
Rating: Long | Target Price: Rs 980 | Upside: 15%
PG Electroplast (PGEL) is a leading original design manufacturer (ODM) and contract manufacturer (CM) for consumer durables in India – would be a key player catering to most segments of the pie. Over FY21-FY24, PGEL grew at a 57 per cent revenue CAGR with product diversification, customer additions, a shift in sourcing mix from brands, and increased penetration, said Equirus.

Ebitda skyrocketed during this period as cost leadership led to margin expansion. However, given the company’s track record in transforming its business with scalability along with new avenues through QIP proceedings, we expect these premium valuations to sustain. We initiate coverage on PGEL with 'Long' and a March 2026 target price of Rs 980," it added.

JM Financial Services on Juniper Hotels
Rating: Buy | Target Price: Rs 450 | Upside: 21%
Juniper Hotels is a leading luxury hotel developer and the largest owner of 'Hyatt' affiliated hotels in India. The company operates 2,115 keys across 8 hotels and serviced apartments located in key metro cities, emerging business hubs and upcoming tourist destinations (Hampi). Juniper benefits from a strategic partnership between Saraf Hotels, said JM Financial.

"With an extremely comfortable leverage position and steady cash flows from its existing portfolio, the company is  well positioned to embark on its next phase of growth and is planning to add more than 1,000 rooms over the next 3 years primarily through ROFO assets and brownfield acquisitions," it said, initiating with a 'buy' and a target price of Rs 450.

Emkay Global Financial Services on Anant Raj
Rating: Buy | Target Price: Rs 950 | Upside: 25%
Anant Raj has garnered a strong brand name as a reputed real estate developer in the NCR market, over the last 5 decades. A comfortable launch pipeline would drive bookings/collections CAGR of 18 per cent/39 per cent, respectively, during FY24-27E, generating healthy cash flows. This would pave the way for a sharp ramp up of the company’s data center (DC) business, said Emkay.

"Rise in share of cloud-based services would further boost profitability. EBITDA and PAT of the DC business is likely to sharply increase to Rs 650 crore and Rs 300 crore by FY27E. Overall, we expect 21 per cent IRR for the DC business (up to FY45E). We initiate coverage with a 'buy' and SoTP-based target price of Rs 925," it added.

Systematix Institutional Equities on Capital Global Capital
Rating: Buy | Target Price: Rs 250 | Upside: 20%
Capri Global Capital is a well-diversified retail focused NBFC with presence in Gold, MSME, and Housing loan segments. It is well positioned, given the huge opportunity to grow in these segments. It has an approach and leverages robust technologies like data science, machine learning (ML) and artificial intelligence to enhance its customer experience, streamline business operations and increase profitability, said Systematix Institutional Equities.

"Management expects profitability and return ratios to improve over FY25-27 aided by robust business growth across products,  focus on high-yielding loan segment, higher fee income and ability to cross sell to existing customers and steady asset quality. We initiate coverage on Capri Global with a 'buy' rating and target price of Rs 250, valuing it at 2.85 times FY27E BV," it added.

LKP Securities on Epack Durables
Rating: Buy | Target Price: Rs 575 | Upside: 36%
Epack Durable the second-largest room air conditioners (RAC) ODM manufacturer in India and is rapidly gaining strength in the consumer durables market. It is a proxy play in the rapidly growing RAC segment. The company is strategically broadening its product offerings beyond RACs to include air coolers, top load washing machines and air fryers, with additional small kitchen appliances in development, said LKP Securities.

"The RAC sector is projected to expand significantly, with forecasts suggesting a rise to 25 million units in FY29E, reflecting a robust 18 per cent CAGR growth in the industry. Epack's strong backward integration capabilities and advanced R&D Infra are expected to drive its success in this competitive market. It presents an attractive investment opportunity considering its promising growth trajectory and positive outlook," it added with a 'buy' rating and a target price of Rs 575.

Anand Rathi Shares & Stock Brokers on Jyoti CNC Automation
Rating: Buy | Target Price: Rs 575 | Upside: 28%
Jyoti CNC Automation Limited stands as one of the nation’s leading manufacturers of CNC machine tools. The company operates fully vertically integrated manufacturing facilities, ensuring self-reliance and cost-efficiency in production. The machine tool industry is a fundamental pillar of Indian engineering's industrial sector, said Anand Rathi Shares & Stock Brokers.

It is leveraging its resources to deliver products that are high-quality, cost-effective, user-friendly, and tailored to meet customer specifications while incorporating advanced technology and innovative features. We expect Jyoti CNC to meet the upcoming challenges through leveraging, expansion of infrastructure and market as well as development of people and product basket," it added with a 'buy' and a target price of Rs 1,700.

HDFC Securities on IPCA Laboratories
Rating: Buy | Target Price: Rs 950 | Upside: 18%
"IPCA Labs is poised to drive outperformance against IPM growth, with synergies from Unichem integration further accelerating earnings. Over the past 12 months, IPCA’s stock has re-rated from 25 times to 35 times one year forward earnings. Based on our projections, the stock trades at 43.5 times/31.1 times/24.5 times FY25/26/27 EPS," said HDFC Securities.

"We believe IPCA Labs will trade at a premium to its historical range led by strong visibility of earnings growth acceleration, which we expect to remain sustainable beyond FY27E. We initiate coverage with a 'buy' rating and a target price of Rs 1,800, based on 31 times Q3FY27E EPS," it said.

IDBI Capital on Apeejay Surrendra Park Hotels
Rating: Buy | Target Price: Rs 950 | Upside: 29%
"We initiate coverage on Apeejay Surrendra Park Hotels with a 'buy' rating and target of Rs245, valuing it at 19 times EV/Ebitda on FY27E. We like it in domestic mid-segment hotels space considering strong positioning in midsegment branded hotels in key cities; robust pipeline of hotels in next 4 years; focus on expansion of Flurys business; superior performance on operating metrics compared to industry peers; and management pedigree, said IDBI Capital

Its track record of delivering the highest occupancy compared to peers, healthy high single digit growth in ADR and higher revenue contribution from Flurys paves the way for handsome shareholder returns in mid-term. We anticipate consistent performance on a high base of FY24 and have penciled in modest CAGR in net sales, Ebitda and profit over FY24-27E, it added.