Motilal Oswal tags Reliance Industries, Gokaldas Exports as buys with 26-29% upside
Reliance retail growth pinned on store additions, productivity gains and hyperlocal scaling (target Rs1655, 26% upside). Gokaldas Exports rides global apparel demand with 92M-piece capacity across India and Africa, eyeing 18% revenue CAGR through FY28 (target Rs1110, 29% upside).
What happened
Motilal Oswal lists Gokaldas Exports and Reliance Industries as buy picks. Reliance retail growth driven by store additions, productivity and hyperlocal
Key facts
- Gokaldas CMP Rs859 target Rs1110 (29% upside)
- Reliance CMP Rs1318 target Rs1655 (26% upside)
- 92 million pieces annual garment capacity
- Gokaldas FY26-28 revenue CAGR 18%
- Reliance EBITDA CAGR 9-10% FY26-28
Why this matters
Gokaldas's India-plus-Africa manufacturing footprint and aggressive capacity build signal an export consolidation play worth tracking for partnership or M&A angles in the apparel supply chain.
What to watch
- Reliance retail EBITDA margin trajectory vs 9-10% CAGR path
- Gokaldas export volume data and major brand customer concentration
- Cotton/synthetic input costs and freight rates squeezing Gokaldas margins
- Reliance retail IPO or value-unlock announcements
- Hyperlocal/quick-commerce competitive intensity affecting Reliance retail unit economics
- Track quarterly Reliance retail store-count and revenue-per-sqft disclosures for productivity confirmation
- Monitor Gokaldas order book and capacity utilization across India and Africa plants
- Watch for peer broker target revisions clustering around the same upside band
- Assess US/EU apparel retailer inventory commentary as demand proxy