Jefferies Picks Top India Stocks Across Seven Key Sectors

Jefferies has identified its top stock selections across India's major economic sectors. The investment bank highlighted companies with strong growth potential and solid execution records in energy, chemicals, real estate, consumer technology, healthcare, and pharmaceuticals.

Energy and Chemicals Picks

In the energy sector, Jefferies selected JSW Energy. The firm estimates the company's capacity will increase 1.8 times, from 13.5 gigawatts to 24.7 gigawatts, by the financial year 2030. JSW Energy has 13.6 GW under construction and another 4.3 GW in the letter of award or pipeline stages. Management is confident of achieving its guidance to add 3 GW of capacity by FY27, having already added 1.1 GW so far in that period. Jefferies forecasts a 17% compound annual growth rate for EBITDA from FY26 to FY30, expecting a more stable earnings profile as the share of merchant power declines from 8% to 2%. A planned $1 billion fundraising should reduce the net debt to EBITDA ratio to 5.0x by FY30 from 6.7x in FY26. The firm set a price target of Rs 720.

For chemicals, the pick is Navin Fluorine International. The company has secured multiple service contracts with committed revenues and assured margins. A key product, Bayer's Nubeqa, has patent protection until 2033 and is expected to grow 50% in calendar year 2026. Jefferies also highlighted a highly energy-efficient, two-phase immersion cooling product for data centers developed with Chemours, which uses 40% less energy. After tripling its anhydrous hydrogen fluoride capacity, NFIL is targeting entry into the semiconductor chemical chain. Analysts project a 23% revenue CAGR with a 31% EBITDA margin and a 23% EPS CAGR from FY26 to FY29. The price target is Rs 9,045.

Real Estate and Consumer Technology

In real estate, Jefferies chose Lodha Developers, which operates as Macrotech. It is India's largest listed developer by land bank, with a development potential of 600 million square feet. The company holds 660 acres of data-center-ready land with a 3-gigawatt capacity, of which 20% has already been sold to hyperscalers including Amazon Web Services. Management aims to generate annualized lease income of Rs 20 billion from data centers within five years. The company has espoused a steady profit after tax CAGR of 20% for the medium to long term. Net debt has declined consistently, with gearing at 0.2x as of June 2026.

The consumer technology selection is Eternal Limited, which owns Zomato. Jefferies noted that Zomato's food delivery business continues to deliver over 17% growth in net order value with improving profitability. Its quick-commerce arm, Blinkit, continues strong growth and "remains the only player to achieve profitability in quick commerce." Management expects long-term EBITDA margins of 5-6% for the business. Jefferies views Eternal as the best way to play India's digital consumption growth and maintains a buy rating with a sum-of-the-parts-based price target of Rs 415.

Healthcare and Pharmaceuticals

Jefferies provided picks across healthcare services and pharmaceuticals. For hospitals, the firm selected Fortis Healthcare. The company plans to add roughly 400 new beds in FY27 and 1,700 beds over the next four to five years. Jefferies expects a revenue CAGR of 15% and an EBITDA CAGR of 20% for the hospital business from FY26 to FY29. For its diagnostics division, analysts project a 10% revenue CAGR and a 15% EBITDA CAGR over the same period. Parent company IHH Healthcare has committed to increasing its stake in Fortis to 51% from the current 31%. The price target is Rs 1,125.

The pharmaceutical pick is Gland Pharma. Its wholly owned subsidiary, Cenexi, has achieved sustainable EBITDA breakeven with a healthy demand outlook. The U.S. Geography is firmly back on a growth path, supported by three to four differentiated product launches. Management's guidance of 20% total sales growth over the next four years is significantly higher than consensus estimates. Jefferies noted that the current year's order book is already in hand to support 15% constant-currency growth. The firm values Gland Pharma at 32 times its estimated September 2028 earnings per share, with a price target of Rs 3,350.

Consumer Goods

Tata Consumer Products rounds out the selections. Jefferies highlighted the company's unique position due to its limited dependency on crude-linked inputs. Its India core business continues to see stable volume growth, while its growth portfolio scales with strong double-digit growth and now constitutes over 35% of the India business. A recent sharp correction in coffee prices should lead to margin expansion. Jefferies expects revenue and EBITDA to grow at a 10-14% compound annual rate from FY26 to FY29. The sum-of-the-parts-based price target is Rs 1,450.