Jefferies has revamped its India model portfolio, spotlighting 11 value stocks with strong growth potential and attractive valuations. Here’s a detailed breakdown:
🔹 Adani Energy Solutions
Target: ₹1,150
With ₹61,600 crore transmission projects, AESL is growing 3x faster than Power Grid. Jefferies sees 34% EBITDA CAGR (FY25–27) and values it at 15x EV/EBITDA FY27E—offering deep value at a 79% discount to its Jan 2023 peak.
🔹 Adani Ports
Target: Not specified
Expected 16% EBITDA CAGR (FY25–28), driven by 14% volume growth. Trades at 38% discount to JSW Infra and 16.6x FY26 EV/EBITDA—close to its long-term average.
🔹 AWL Agribusiness
Target: ₹350
India’s largest edible oil brand ‘Fortune’ clocks ₹25,000 crore+ sales. Ownership shift to Wilmar underway. Fast-growing staples portfolio adds to upside.
🔹 Birla Corp
Target: Not specified
20MTPA cement capacity, mostly in Central India. Trades at 8.5x FY26 EV/EBITDA—60% discount to UltraTech. Jefferies sees rerating amid cement recovery.
🔹 Belrise Industries
Target: Not specified
Auto component midcap with 12% revenue CAGR (FY25–28). Attractive 20x FY26 PE and PEG of 0.8x vs 1.8x peer average.
🔹 Bharti Airtel
Target: Not specified
Jefferies calls it the best consumption play. Mid-teens revenue growth expected, with low competition and strong market size.
🔹 Finolex Cables
Target: Not specified
Electrical cables play with 14% sales CAGR and 19% PAT CAGR (FY25–28). Trades at 45–50% discount vs peers.
🔹 IndiGo (InterGlobe Aviation)
Target: Not specified
12x FY26 EV/EBITDA valuation. Dominant domestic aviation player with global expansion plans and mid-teens earnings growth.
🔹 Mahindra & Mahindra
Target: Not specified
18% EPS CAGR (FY25–28). Gaining share in tractors, SUVs, and LCVs. Trades at 25x core FY26 PE—better growth outlook than Maruti or Hyundai.
🔹 NTPC
Target: ₹490
Aggressive capacity ramp-up: 11.8 GW in FY26, 9.9 GW in FY27. Trades at 2.3x PB FY27—aligned with past upcycle averages.
🔹 Sagility India
Target: Not specified
Midcap IT firm with 7–8% market expansion. Revenue synergies from Broadpath, deeper client mining, and M&A support growth.
