Broker Stock Recommendations for Today: Insights on Groww, Lenskart, and More
Jefferies, IIFL Finance, Macquarie, CLSA, and Goldman Sachs have recently initiated coverage on several prominent companies, offering buy recommendations and target prices that reflect their growth potential. Groww, India’s largest broker by active clients, is projected to achieve a 35% compounded annual growth rate in earnings per share by 2028. Meanwhile, Firstsource Solutions and Lenskart are also highlighted for their strong market positions and innovative strategies. Analysts are optimistic about these companies, indicating significant opportunities for growth in the coming years.
Jefferies’ Positive Outlook for Groww
Jefferies has begun its coverage of Groww, recommending a buy with a target price set at Rs 180. Analysts emphasize that Groww has rapidly established itself as the largest broker in India by active clients since its inception in FY21. They project a remarkable 35% compounded annual growth rate (CAGR) in earnings per share (EPS) from FY26 to FY28. This growth is expected to be driven by a 19% increase in its broking business, fueled by client retention and market share gains. Additionally, new initiatives such as margin trading and wealth management are anticipated to grow fivefold. Analysts also foresee a significant margin expansion of 700 basis points, further solidifying Groww’s position in the competitive brokerage landscape.
IIFL Finance’s Coverage of Firstsource Solutions
IIFL Finance has initiated coverage of Firstsource Solutions with a buy recommendation and a target price of Rs 420. Analysts highlight that Firstsource is the largest and most diversified pure-play BPO services provider in India, boasting annualized revenues exceeding $1 billion. This positions the company favorably in terms of scale and agility. The firm’s UnBPO approach is transforming the BPO industry by shifting focus from traditional scale and labor arbitrage to technology-driven solutions. Analysts note that over 50% of Firstsource’s revenue is now based on outcome-based pricing, showcasing its commitment to delivering measurable results. The recent turnaround under the new CEO, guided by the One Firstsource Strategy, has led to a significant increase in large deal wins, with quarterly wins rising from one in FY24 to four or five by FY26.
Macquarie’s Assessment of Lenskart
Macquarie has rated Lenskart as an outperformer, setting a target price of Rs 530. Analysts recognize Lenskart as India’s leading eyewear retailer, benefiting from an integrated supply chain that enhances its competitive edge in cost, design, and efficiency. The company has a strong track record of growth and is expected to capture a larger market share, potentially increasing from its current 5% to over 40%, as seen in other countries. Improved supply chain utilization is projected to boost the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA) margin to approximately 33% at the store level. Additionally, Lenskart aims to triple its return on invested capital to over 20% by FY26-FY28, reflecting its robust growth strategy.
CLSA and Goldman Sachs’ Insights on Other Companies
CLSA has assigned a hold rating to Voltas, with a target price of Rs 1,170. Analysts note that demand for room air conditioners (RAC) improved sequentially in Q3FY26, although it may still decline on an annual basis. They point out that inventory levels remain high, with 40–45 days of stock compared to 20–25 days last year. The company’s pricing strategy is under review, with various factors being considered for potential adjustments. Analysts believe that a recovery in RAC demand and developments regarding price hikes will be crucial for Voltas in the near term.
Goldman Sachs has given Max Healthcare a buy rating with a target price of Rs 1,325. The company has recently announced its entry into the Pune market through the acquisition of Yerawada Properties. The acquisition will be executed in phases, with the first tranche involving the purchase of 100% of Class A equity shares, granting full voting rights and a 50.22% economic interest in the property. Furthermore, Max Healthcare’s board has approved the establishment of a 450-bed super specialty hospital on the acquired land, signaling its commitment to expanding healthcare services in the region.
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