Global brokerage house Jefferies has handpicked three stocks and rated them as Buys. The brokerage remains bullish on these names, citing strong fundamentals, growth triggers, and valuation comfort.
Let’s take a look at what makes these stocks attractive picks, according to the brokerage.
Jefferies on DLF: Buy with a target price of Rs 1,000, implying a 36% upside
Real estate major DLF has caught Jefferies attention with its launch pipeline and pre-sales figures. The brokerage has given a Buy rating on the stock with a price target of Rs 1,000, implying a potential upside of 36% from current levels.
DLF is riding high after a 44% jump in FY25 pre-sales, driven by the luxury ‘Dahlias’ project. “A 1Q heavy launch pipeline makes DLF’s FY26 pre-sales poised to grow on top of a 44% jump in FY25 pre-sales,” Jefferies noted.
The developer has over Rs 170 billion worth of launches lined up in FY26, with projects like Privana Phase-3 and a key development in Mumbai already nearing regulatory approvals.
According to Jefferies, “High profitability implies the development business is trading at <10x EBITDA embedded in FY25 pre-sales and ~25% discount to NAV.”
Jefferies on CMS Info Systems: Buy maintained, but target price cut from Rs 600 to Rs 580
While CMS Info Systems has faced some recent hiccups, Jefferies remains optimistic about the company. It continues to recommend a Buy, albeit with a revised target price of Rs 580, slightly trimmed from Rs 600. This still suggests a 24% upside from current levels.
For Q4 FY25, CMS Info System reported a profit of Rs 1 billion, up 7% YoY, but missed estimates due to a slower rollout of ATMs and disruptions caused by the AGS Transact bankruptcy, which impacted around 18,000 ATMs.
“Earnings for 4Q and FY25 missed estimates due to slower ATM rollout & managed service contracts,” Jefferies explained.
Despite the near-term setbacks, Jefferies expects a recovery led by CMS Info System’s competitive position and growth in its Retail Cash Management (RCM) and Risk Management Services (RMS) businesses. “We see better competitive position of CMS & ramp-up in RCM & RMS business aiding 15-16% growth from FY26,” it said.
Even as earnings estimates were cut by 6-7% for FY26-27, the brokerage sees value in the stock, trading at 18x FY26 PE, and believes that “valuations look attractive.”
Jefferies on Torrent Pharmaceuticals: Buy with a revised target price of Rs 3,740
Jefferies is also backing Torrent Pharma, maintaining a Buy rating with a revised price target of Rs 3,740, down from Rs 3,970. This still implies a 15% upside from the current price.
Torrent’s Q4 results were largely in line with expectations, due to growth in India and the US. However, sales in Brazil dipped due to channel destocking. “Brazil sales was impacted by channel destocking and will be back to double-digit growth (cc) in FY26,” Jefferies noted.
According to the brokerage report one of the key growth levers for Torrent could be its planned launch of Semaglutide, a diabetes drug, in India and Brazil, pending regulatory approvals. While growth in the US may be subdued, all other geographies are expected to pick up pace in FY26.
“Torrent remains a domestic-focused firm with steady and predictable growth,” the report added, citing the company’s consistent outperformance versus the Indian Pharma Market (IPM).
Though R&D spends have gone up, leading to a slight 2% cut in FY26/27 EBITDA estimates, Jefferies values Torrent at 27x FY27 EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization), which keeps the buy call intact.