This Jindal Group stock is a consensus 'buy' among analysts that track it
Published on 13/05/2025 01:45 PM
This Jindal Group stock is a consensus 'buy' among analysts that track itMotilal Oswal believes that Jindal Stainless' revenue will grow at a Compounded Annual Growth Rate (CAGR) of 14%. The same will be driven by volume growth of 10% CAGR and net sales revenue (NSR) improvement of 4% over financial year 2025-2027.By Shloka Badkar May 13, 2025, 1:45:37 PM IST (Published)2 Min ReadShares of Jindal Stainless Ltd. gained over 3% on Tuesday, May 13, after brokerage firm Motilal Oswal initiated coverage on the stock and projected a 26% upside on the stock from its last closing price.
The brokerage initiated coverage with a "buy" rating on the stock with a price target of ₹770 per share. The stock ended the previous trade session at ₹610 apiece.
Motilal Oswal cited four reasons for its bullish stance:
1) It said it believes the company is set for sustainable growth. The brokerage expects Jindal Stainless to strengthen its market dominance.
2) Motilal Oswal believes that Jindal Stainless' revenue will grow at a Compounded Annual Growth Rate (CAGR) of 14%. The same will be driven by volume growth of 10% CAGR and net sales revenue (NSR) improvement of 4% over financial year 2025-2027.
3) The brokerage factored in earnings before interest tax depreciation amortisation (EBITDA) / adjusted profit after tax (APAT) CAGR of 17% / 21% over FY25-27, driven by strong topline growth and coupled with improved cost structure for the company.
4) Motilal Oswal said it expects further deleveraging driven by strong cash flow during FY26-FY27.
All 13 analysts that have coverage on the stock have "buy" ratings.
Jindal Stainless shares gained 3.6% to hit an intraday high of ₹632.2 apiece on Tuesday, May 13. The stock was up 3.07% at ₹628.7 apiece at 12.30 pm. It has gained 12.7% in the past month.
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