PB Fintech, CONCOR, Polycab India, Tata Steel, SRF, Alkyl Amines, Hero Moto: MOFSL targets

Domestic brokerage MOFSL on Thursday came out with individual reports on a handful of stocks including PB Fintech Ltd, Polycab India Ltd, Tata Steel Ltd, Container Corporation of India (CONCOR), SRF Ltd, Alkyl Amines and Hero MotoCorp Ltd. Among the stocks, the domestic brokerage has 'Buy' rating on all except Alkyl Amines Chemicals Ltd and PB Fintech Ltd. Except for Alkyl Amines Chemicals, where the target price suggests a 2 per cent potential downside, all other stocks are seen delivering double-digit returns.  

Polycab India | Buy | Target: Rs 9,800 | Upside: 16%

MOFSL said Polycab India's Q4 operating performance was above its estimates, mainly led by better-than-estimated revenue and margin in FMEG, while C&W margin was in line with our estimates. 

While there has been several near-term challenges due to external factors, it believes the demand outlook for Polycab India remains strong for the next 2-3 years, as the company's continued proactive capex may ensure no capacity constraints and positions it well to capture demand recovery and maintain strong growth, MOFSL said.

"We estimate a CAGR of 19 per cent in POLYCAB’s revenue/Ebitda each and 18 per cent in PAT over FY26-28. We estimate operating profit margin to range around 13.5-14 per cent in FY27/28," it said. 

Hero MotoCorp| Buy | Target: Rs 6,248 | Upside: 21%

MOFSL aid Hero MotoCorp’s Q4 profit came in line with its estimate. Margins remained stable year-on-year (YoY) despite the ramp-up in EV business, it said.

"We expect HMCL to benefit from a gradual rural recovery, given strong brand equity in the economy and executive segments. Its focus on ramping up presence in scooters (both ICE and EVs) and exports is likely to help drive volume growth. We expect HMCL to deliver a volume CAGR of 8 per cent over FY26-28, driven by new launches and a ramp-up in exports," MOFSL said.

SRF | Buy | Target: Rs 3,400 | Upside: 25%

SRF's Q4 operating performance beat MOFSL's estimates. The brokerage said SRF’s overall business is expected to grow despite a volatile global environment, supported by diversification and a strong capex pipeline. Growth in FY27 is expected to be led by refrigerant gases, recovery in specialty chemicals, and improving fluoropolymer traction, while PFF and technical textiles show a gradual cyclical recovery, it said.

"We expect the chemicals business (fluorochemicals and specialty chemicals) to maintain the growth momentum going ahead, fueled by: 1) the ramp-up of recently commissioned plants, 2) the launch of new products, 3) a strong R&D and innovation pipeline, 4) stable demand for refrigerant gases in the international market and a recovery in the domestic market, and 5) expanding margins in PFF’s existing business, coupled with a ramp up in new capacities," it said.

PB Fintech | Neutral | Target: Rs 1,870 | Upside: 10%

MOFSL said PB Fintech has continued to deliver strong volume growth in 4QFY26, above its guidance of 30 per cent, driven by GST exemption-led boost in term and health insurance. Strong momentum in the protection segment, along with operational efficiency on the back of productivity improvement, resulted in robust profitability, it said.

"We believe PB Fintech holds a strong position in two of India’s most under-penetrated financial services segments, complemented by embedded optionality from new initiatives that offer further long-term convexity," it said. 

Over FY26-28, MOFSL expects PB Fintech to post a growth of 28 per cent in revenue, 73 per cent in Ebitda and 40 per cent in profit, compounded annually, factoring in a strengthening position in the under-penetrated credit and insurance industries. However, the potential risk of commission caps on take rates remains the key monitorable, it noted. 

Tata Steel | Buy | Target: Rs 250 | Upside: 16%

MOFSL said Tata Steel's India business is expected to continue its strong performance, driven by improved pricing. In Europe, the brokerage said, near-term profitability will remain contingent on spread recovery and energy costs, while structural measures such as CBAM and tighter import quotas may gradually improve pricing discipline and reduce import-led margin pressure.

MOFSL said Tata Steel is one of the largest players in India's steel sector and it maintained a constructive stance on the stock, supported by a strong domestic demand outlook and safeguard duty-led price support. "At CMP, Tata Steel is trading at 7 times FY28E EV/Ebitda and 2 times FY28E P/B. We maintain our BUY rating with an SoTP-based TP of INR250 (on FY28 estimate)," it said.

Container Corporation of India Ltd | Buy | Target: Rs 600 | Upside: 14%

MOFSL said CONCOR has strengthened its logistics ecosystem by expanding double-stack rail operations, shipping operations in the Middle East, utilizing the DFC to drive efficiency, and advancing its integrated logistics network. The company, MOFSL said, remains focused on scaling up its rail freight services and infrastructure, supported by a higher capex allocation toward new terminal commissioning, fleet augmentation, and enhanced multimodal connectivity.

"We remain optimistic about the expected improvement in rail coefficient, coupled with operational efficiencies from double-stack movement and network expansion on the volume growth, supported by the commissioning of Western Dedicated Freight Corridor (WDFC)," it said. 
 
Alkyl Amines Chemicals Ltd | Neutral | Target: Rs 1,720 | Downside: 2%

MOFSL expects short-term headwinds to persist for Alkyl Amines Chemicals due to the uncertainty in the microenvironment and significant uncertainty stemming from the tensions in the Middle East, impacting the raw material prices.

It said the Alkyl Amines Chemicals' growth will be aided by the planned commercialisation of a new product at the Kurkumbh facility in 2QFY27 and additional products in the R&D pipeline. It also sees the company gaining from the anti-dumping duty on acetonitrile and headroom in improving capacity utilisation and rising demand from the pharma segment.