Jefferies Unveils 3 High‑Potential “Buy” Picks with Up to 25% Upside.

Jefferies Unveils 3 High‑Potential “Buy” Picks with Up to 25% Upside 

Published: August 1, 2025 (Financial Express)

Global brokerage firm Jefferies has just released its latest stock recommendations, highlighting three key picks—Larsen & Toubro (L&T), Bharti Airtel, and GMR Airports—with upside potential ranging from 12% to 25%.

1. Larsen & Toubro (L&T)

• Buy Rating with a target price of ₹4,230, suggesting 24% upside

• Q1 FY26 EBITDA came in 7% ahead of expectations, backed by strong execution

• Order inflows surged by 33% YoY, boosting confidence in 10% annual revenue growth guidance

• International business grew by 36% YoY, maintaining stable margins

• Improvement in working capital efficiency reduces downside risk.

2. Bharti Airtel

• Buy Rating at a target price of ₹2,045.50, implying 25% upside

• Standalone operations saw a margin improvement of 210 bps YoY due to robust cost control

• Free cash flow increased by 54% YoY, reaching its highest margin since FY13

• Gross debt declined by 12%, with prudent capital structure and limited FX exposure

• Uptick in tariffs remains crucial for sustaining return on capital.

3. GMR Airports

• Buy Rating with a target of ₹103.70, projecting 12% upside

• Delivered a stellar Q1 performance—45% YoY jump in EBITDA backed by new tariff structure at Delhi

• Hyderabad airport saw 17% traffic growth, and domestic traffic rose 19%

• GMR is diversifying beyond core operations—expanding into hotel development, cargo logistics, and retail via its Delhi Duty-Free business.

Why These Picks?

Company	Sector	Key Catalysts	Upside Estimate
L&T	Engineering	Strong order book, execution beat, international growth	~24%
Bharti Airtel	Telecom	Margin discipline, rising free cash flow & improving debt profile	~25%
GMR Airports	Aviation	Traffic recovery, tariff benefits, business diversification	~12%

Jefferies paints a broadly positive picture: these companies exhibit solid fundamentals, visible earnings momentum, and favorable macro‑trends supporting further growth.

Analyst Insights

• L&T: Positioned to outperform, with strong order books and international growth accelerating revenue visibility.

• Bharti Airtel: Leaner costs and rising margins underpin optimism, although a sustained tariff increase remains pivotal.

• GMR Airports: Strong rebound in air traffic plus new revenue streams bolster the bullish thesis.

Final Thoughts

Jefferies’ latest “Buy” ratings underscore a compelling narrative: blue-chip Indian corporations with strong earnings engines and clear growth paths. L&T and Bharti Airtel stand out with near‑quarter returns of 24–25%, whereas GMR Airports offers steady upside tied to travel recovery.