Brokerage Calls: Fresh Price Targets for Suzlon, DMart, Hitachi Energy & M&M
Leading domestic and global brokerage institutions released a flurry of research notes on Monday, October 12, 2026, offering divergent views and updated target prices across prominent Dalal Street counters. The fresh research calls span retail titan Avenue Supermarts (DMart), infrastructure player IRB Infrastructure, grid technology provider Hitachi Energy, automaker Mahindra & Mahindra, and renewable energy major Suzlon Energy. Analysts thoroughly evaluated second-quarter sales performance, operating margin trajectory, capex plans, order inflows, and long-term valuation multiples, painting an insightful roadmap for investors navigating these high-beta market favorites.
Mixed Signals on DMart: CLSA Targets ₹5,723 While Jefferies and Motilal Urge Caution
Brokerages presented sharply contrasting perspectives on Avenue Supermarts following its second-quarter business updates and earnings print. Global brokerage CLSA maintained an optimistic outlook with a target price of ₹5,723, highlighting a resilient 9.5 percent same-store sales growth (SSSG) and gross margins of 14.15 percent aligning with estimates. CLSA noted that while EBITDA expanded 14.1 percent year-on-year to represent 7.3 percent of sales, EBITDA margins compressed by 28 basis points due to minimum wage hikes, and net profit growth settled at 7.6 percent owing to elevated depreciation and financing costs. On the other hand, Jefferies retained a Hold rating while reducing its target price to ₹4,000, pointing out that although footfalls remain healthy and inflation is supporting demand, broader margin headwinds require a watchful approach. Motilal Oswal maintained a Neutral stance with a target price of ₹3,925, observing that while revenue growth accelerated to 18 percent in Q2 FY27 from 15 percent in Q1, and 15 new stores took the total store network to 518, current valuations fully capture the pace of physical expansion.
Bullish Calls on Infra and Grid Tech: CLSA on IRB Infra and Macquarie’s ₹38,500 Bet on Hitachi Energy
Infrastructure developer IRB Infrastructure received a constructive review from CLSA, which assigned a target price of ₹34.50 on the back of accelerating toll revenue momentum. The brokerage highlighted that overall toll revenue growth rose to 12 percent in the second quarter of FY2027, driven by the Mumbai-Pune Expressway, where toll collections surged 11 percent in FY27 compared to just 4 percent during the same timeframe in FY2026. Like-for-like toll revenue across IRB’s InvIT assets expanded 13 percent, with CLSA suggesting that potential toll tariff revisions in FY2028 could provide additional upside as nine-month wholesale inflation reached 6 percent. Concurrently, Macquarie reaffirmed strong conviction in Hitachi Energy India, prescribing a street-high target price of ₹38,500 following direct management interactions. Macquarie stated that the power transmission specialist is uniquely positioned to seize massive domestic grid modernisation and global export contracts, bolstered by rapid revenue diversification into high-margin products for data centers and battery energy storage systems (BESS).
Auto Sector Relief and Suzlon's ₹65 Upside: CLSA Backs M&M While Motilal Recommends Suzlon
Analyzing the automotive landscape, CLSA noted that the Nifty Auto Index has declined nearly 17 percent over the past two months despite resilient retail sales, dragged down by elevated raw material costs, frequent vehicle price revisions, and post-GST cut demand normalization concerns. However, with automakers forecasting mid-to-high single-digit expansion in the second half of FY2027, CLSA flagged an attractive risk-reward profile, maintaining an Outperform rating on Mahindra & Mahindra (M&M). The brokerage observed that M&M is trading at approximately 15 times its projected FY2028 core earnings per share, an attractive multiple that already prices in a 10 percent contraction in the tractor segment while maintaining steady operating margins and an estimated 10 percent annual EPS growth. Turning to renewable energy, Motilal Oswal reiterated a high-conviction Buy recommendation on Suzlon Energy with a target price of ₹65, noting that a 31 percent stock correction over the past three months has compressed its valuation to 17.5 times FY28 estimated earnings per share—a 20 percent discount to its historical one-year multiple of 22 times. With the second half traditionally generating 60 to 65 percent of Suzlon's annual EBITDA, the brokerage projects wind deliveries to jump from 1.2 GW in H1 to 2.1 GW in H2, supported by a healthy 5.9 GW order book and 1.3 GW of fresh order wins in FY27 that provide clear execution visibility through Q3 FY28 alongside an estimated 22 percent EBITDA CAGR between FY26 and FY28.
