Aadhar Housing Finance among 7 stocks on which brokerages initiated coverage, expected to rally up to 40%

Kotak Institutional Equities initiated coverage on Aadhar Housing Finance with a 'Buy' rating. The brokerage firm set a target price of Rs 550 on the stock, which shows an upside potential of 24% from the current market prices.



"We initiate coverage on Aadhar with a BUY rating and RGM-based FV of Rs 550. Aadhar stands out versus most affordable peers due to a larger balance sheet, longer vintage and seasoning, with superior RoEs. On the other hand, its loan growth (21% CAGR during FY2024-27E) is comparable more to mature housing finance companies than fast-growing smaller affordable HFCs," said Kotak.

Axis Securities initiated coverage on Juniper Hotels with a Buy rating. The brokerage firm set a target price of Rs 475 on the stock, which implies an upside potential of 20% from the current market prices.



"JHL presents a strong investment case, driven by impressive revenue growth projections and solid financial performance. The expected improvement in occupancies, coupled with rising ARRs, along with the company's strategic expansion at the Grand Hyatt Mumbai, is set to significantly enhance profitability. JHL's effective debt reduction, which is projected to improve its ROCE to approximately 13%, along with maintaining a high FCFF/EBITDA ratio, further underscores its financial strength," the brokerage firm said.

Domestic brokerage firm Axis Securities initiated coverage on Chalet Hotels with a Buy rating. The brokerage firm set a target price of Rs 975 on the stock, which indicates an upside potential of 10% from the current market prices.



"Chalet Hotels presents a compelling investment case, driven by impressive revenue growth projections and solid financial performance. Expected improvements in occupancies, coupled with rising ARRs and the company’s strategic expansion across diverse micro-markets, are poised to significantly enhance profitability. Chalet's effective debt reduction, improving its RoIC to approximately 17%, and maintaining a high FCFF/EBITDA ratio further underscore its financial strength," it said.

Equirus Wealth initiated coverage on Somany Ceramics with a 'Long' rating. The brokerage firm set a target price of Rs 984 on the stock, which implies an upside potential of 40% from the current market prices.



"Somany is well-positioned for growth by focusing on GVT, expanding bathware to enhance realizations and brand premiumization. We expect SOMC’s Revenue/EBITDA/PAT to grow at a 12.2%/18.6%/34.7% CAGR over FY24-FY27E. SOMC is currently trading at FY25E / FY26E P/E of 22.1x/15.6x," it said.

Monarch Networth Capital initiated coverage on Godawari Power & Ispat with a 'Buy' rating. The brokerage firm set a target price of Rs 1,240 on the stock, which shows an upside potential of 33% from the current market prices.



"Even after accounting for a correction in our commodity price estimates, we find that GPIL is attractively trading at 5x Jun’26 EV/EBITDA which

drives our high conviction BUY rating. We value GPIL at 6x Jun’26 EV/EBITDA to arrive at a TP of Rs1240/share and initiate with BUY. The 6x multiple is a decade average valuation, showing our cautious stance to account for commodity price corrections," it said.

Monarch Networth Capital initiated coverage on EPL with a 'Buy' rating. The brokerage firm set a target price of Rs 320 on the stock, which implies an upside potential of 25% from the current market prices.



"We expect EPL to report strong revenue and profitability growth, riding on the back of pharma/FMCG tailwinds, coupled with robust margin expansion on back of cost optimization measures, margin accretive business from Brazil and operating leverage. As a result, we expect revenue/EBITDA/Adj. PAT to grow at a CAGR of 10.7%/15.1%/24.1% over FY24-27E," it said.

Monarch Networth Capital initiated coverage on Praveg with a 'Buy' rating. The brokerage firm set a target price of Rs 1,130 on the stock, which shows an upside potential of 35% from the current market prices.



"We expect the company to post a revenue CAGR growth of 76% over FY24-27E, driven by the launch of new properties and increasing occupancy levels. EBITDA margins are likely to expand by more than 600bps to 38% over the same period on economies of scale - higher occupancy levels and increase in ARR, and consequently, return ratios," it said.



(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)