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GMR Airports shares gain 2% after Kotak upgrade; check target priceGMR Airports Limited shares rose as Kotak Institutional Equities upgraded to Buy, citing strong Q3FY26 performance. Non-aero revenue surged, with 86% analysts give 'Buy' rating to the stock.By Gareema Bangad  February 17, 2026, 10:05:45 AM IST (Published)2 Min ReadShares of GMR Airports Limited are trading 1.75% up as Kotak Institutional Equities upgraded the stock to ‘Buy’, citing stronger-than-expected operational performance and improving earnings mix.

Kotak raised its target price for the stock to ₹112, flagging an upside of approximately 8.75% from its current trading price of about ₹102.2.

The brokerage said GMR Airports delivered a 16% beat in EBITDA for the December quarter. Of this, about 7% was driven by operational factors, while 9% came from transient one-offs.

ALSO READ | GMR Airports shares gain 8% after Jefferies flags 25% upside on strong Q3 performance

The brokerage highlighted continued strength in non-aeronautical revenue. Non-aero spending per passenger at the top three airports rose 10% year-on-year during the third quarter and the nine-month period ended December 2025. Combined with the scale-up of non-aero spending outside airport entities, aggregate non-aero revenue is now 1.5 times aero revenue, it said.

For Q3FY26, the company reported a 51% YoY surge in its revenue to ₹3,993 crore, while EBITDA rose 71% to ₹1,701 crore. EBITDA margin expanded 521 basis points to 42.6%. However, net profit declined 14% YoY to ₹174 crore, impacted by a ₹70 crore labour code-related charge.

Kotak noted that non-aero and real estate businesses now account for around 70% of consolidated EBITDA, and this share is expected to rise further over the next few years. The shift in earnings mix is likely to boost EBITDA growth and reduce leverage to around 3 times by FY2028, from about 5 times currently.

The brokerage added that improving leverage and rising cash flows could increase the prospects of dividend payouts from FY2029.

According to Bloomberg data, brokerage sentiment on GMR Airports remains positive, with about 86% of analysts giving the stock a ‘Buy’ rating, while the rest recommend ‘Hold’. The stock has a 12-month median target price of ₹113.8, implying an upside of about 10% from the last traded price of ₹102.2. The shares have delivered a 45.57% return over the past year.Continue ReadingTagsGMR AirportsKotak Institutional EquitiesQ3 resultsshare market today