.png)
2 hours ago
26
No stock data available
Stocks to BUY for high returns: Brokerage firm Nuvama Institutional Equities has recommended three stocks for 2026 with potential returns of over 25 per cent based on its latest target prices. The top picks, Waaree Energies, Mahindra & Mahindra (M&M) and Pidilite Industries, offer upside ranging from 26 per cent to 43 per cent from current market prices (CMP).
Below is a structured look at Nuvama’s stock recommendations for 2026:
Waaree Energies
- Current Price: Rs 2,721.55
- 12-Month Target Price: Rs 3,867
- Upside: 43 per cent
Nuvama maintains a Buy rating on Waaree Energies with a 12-month target price of Rs 3,867, implying a 43 per cent upside from the current price of Rs 2,721.55. The company is strategically evolving to benefit from the multi-decadal renewable energy and green hydrogen (GH2) opportunity.
The brokerage estimates EBITDA will grow at a 40 per cent CAGR over FY25–28E, supported by a strong order book of 60,000. Annual EBITDA generation of Rs 6,000 crore is expected to largely take care of higher capex. EBITDA margin expanded five times from 5 per cent in FY21 to 25 per cent in Q3FY26, driven by an eightfold jump in capacity and higher export realisations. Margins are expected at 22 per cent in FY26/27E as module capacity expands and backward integration into high-margin solar cell manufacturing progresses by FY28E.
Mahindra & Mahindra (M&M)
- Current Price: Rs 3,479.85
- Target Price: Rs 4,400
- Upside: 26 per cent
Nuvama reiterates Buy on Mahindra & Mahindra with a target price of Rs 4,400, indicating a 26 per cent upside from the current price of Rs 3,479.85. Revenue is expected to compound 15–40 per cent across segments over FY26E–30E. Auto revenue is seen expanding eightfold over FY20–30E driven by UV and CV growth.
Additionally, the brokerage highlights that, Upcoming launches include BE7 and the Vision Series (S, SXT, X, T) on the NU_IQ platform, which can also provide some more support. The BE7 e-SUV is built on the Inglo platform with flexible seating and a 79kWh battery. Nuvama estimates FY25–28E revenue and core earnings CAGR of 16 per cent and 19 per cent, respectively, with RoIC above 60 per cent.
Pidilite Industries
- Current Price: Rs 1,501.30
- Target Price: Rs 1,915
- Upside: 27 per cent
Nuvama maintains Buy on Pidilite Industries with a target price of Rs 1,915, implying a 27 per cent upside from the current price of Rs 1,501.30. The company is targeting 10 per cent volume growth, with margins trending toward the upper end of the 20–24 per cent band. Real estate concerns are seen as overstated, as 70–75 per cent of the portfolio is linked to repair and renovation demand.
Roff, Dr Fixit and Projects are scaling at two to four times GDP growth, with waterproofing and tile adhesives remaining key growth engines. The company’s calibrated entry into paints across select eastern states focuses on distribution-led expansion. Its foray into Electronic Adhesives via the Colltech JV expands its total addressable market, while industrial and exports are expected to rebound to double-digit growth.
Top Nuvama Stock Picks for 2026
With a projected upside of 26–43 per cent, Waaree Energies, Mahindra & Mahindra, and Pidilite Industries emerge as Nuvama’s top stock recommendations for 2026, backed by earnings growth visibility, expansion plans and improving margins.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
English (US) ·