Prominent global brokerage firm Jefferies has released a fresh market note recommending investments across three major sectors, including steel, food delivery, and automobiles. Based on strong business fundamentals and future expansion blueprints, these stocks are projected to deliver substantial gains ranging from 22 percent up to 47 percent compared to their current trading prices in the market.
Major Upside Potential In Tata Steel
Jefferies has maintained its Buy rating on Tata Steel while setting a target price of Rs 275 per share. This target sits approximately 47 percent higher than the current market price of the stock. According to the brokerage, the company delivered a June quarter EBITDA right in line with expectations. Strong domestic sales volume and improved margins supported the performance in India. Although the European business remains subdued, losses have narrowed on a sequential quarter-on-quarter basis. Furthermore, the company is actively expanding the capacity of the Neelachal Ispat Nigam Limited or NINL plant by 4.8 million tonnes per annum, known as MTPA, which is expected to bolster long-term production capacity.
The market has also been reacting to regulatory changes and broader economic updates, keeping investor interest high across high-growth sectors as institutions continuously rebalance their portfolios based on quarterly earnings reports and underlying operational metrics.
Swiggy Poised For Strong Gains
Food delivery major Swiggy has also secured a strong endorsement from the brokerage, which assigned a target price of Rs 415. This represents an upside potential of roughly 44 percent over the existing market price. The analysis highlights that Swiggy has successfully achieved contribution margin break-even, meaning every individual order now generates enough revenue to completely cover its direct delivery and operational costs. While losses at the EBITDA level still persist, the management has outlined a clear path toward sustained profitability, while the core food delivery business continues to demonstrate robust growth aligned with market forecasts.
Mahindra & Mahindra Drives Positive Outlook
Automobile powerhouse Mahindra & Mahindra retains its Buy rating from Jefferies with a target price fixed at Rs 4,000. Based on current valuations, this translates to an expected price increase of about 22 percent. The brokerage noted that while raw material inflation has exerted slight pressure on vehicle margins, robust consumer demand and strong vehicle sales volumes continue to anchor the business. The company is scheduled to roll out brand new SUV platforms starting in fiscal year 2027. Jefferies anticipates a 7 percent growth in core EPS for FY27, alongside a projected compound annual growth rate of 17 percent spanning through FY27 to FY29. Nonetheless, the report cautions that subdued monsoon patterns could create slight headwinds for the tractor segment.
