MOFSL sees 20–24% upside in Tata Steel, Solar Industries, IDFC First Bank and MMFSL
Motilal Oswal has reiterated Buy calls across the four stocks, with targets of Rs 220 for Tata Steel, Rs 23,000 for Solar Industries, Rs 105 for IDFC First Bank and Rs 430 for MMFSL.
What happened
MOFSL issued Buy calls on Tata Steel, Solar Industries, IDFC First Bank and MMFSL, projecting 20-24% upside. Tata Steel’s Indian business is expected to benefit
Key facts
- Tata Steel target price: Rs 220; upside potential: 20%
- Solar Industries target price: Rs 23,000; upside potential: 24%
- IDFC First Bank target price: Rs 105; upside potential: 23%
- Mahindra & Mahindra Financial Services target price: Rs 430; upside potential: 21%
- IDFC First Bank estimated PPoP CAGR: 42% for FY26-FY28
- MMFSL projected PAT CAGR: 23% for FY26-FY28
Why this matters
The outlook reinforces the attractiveness of industrial and financial-services adjacencies, with IDFC First Bank and MMFSL standing out for their high expected profit-growth trajectories.
What to watch
- IDFC First Bank net interest margin, deposit growth, credit-cost and FY26 loan-growth guidance.
- MMFSL disbursement growth, collection efficiency, rural demand indicators and asset-quality trends.
- Solar Industries defence order inflows, export execution, capacity additions and margin sustainability.
- Tata Steel India realizations, coking-coal costs, European operations and China-linked steel-price direction.
- RBI liquidity and rate expectations, which affect bank/NBFC funding costs and valuation multiples.
- Expect higher retail participation and short-term buying interest in the four names after the reiterated Buy calls.
- Watch for peer-broker target revisions, which could reinforce a sector-level rerating in private banks, NBFCs, defence manufacturing and metals.
- Companies may use stronger market sentiment to accelerate capital-market activity, debt refinancing or expansion messaging if operating trends remain supportive.