Motilal Oswal is a prominent Indian financial services firm, known for its expertise in equity broking, wealth management, asset management, and investment banking. The company offers research-backed investment strategies and personalised financial solutions to both retail and institutional investors.
The leading Indian broker Motilal Oswal has identified a list of high-conviction stocks and assigned a “Buy” rating, highlighting strong upside potential based on their analysis.
Here is the List of stocks to keep on your Radar
Mphasis Ltd
Mphasis Ltd. is a global information technology (IT) solutions provider headquartered in Bengaluru, India, that specializes in cloud and cognitive services to help enterprises transform their businesses. It offers a wide range of services, including application development, business process outsourcing, cybersecurity, and AI-driven solutions. Motilal Oswal, upgraded its rating to Buy with a Target of Rs. 4,100 on it, suggesting an upside potential of 49% from the previous day’s close.
With a market capitalization of Rs. 53,073.92 crores on Wednesday, the shares of the company rose by upto 0.7 percent, reaching a high of Rs. 2821.65 per share compared to its previous closing price of Rs. 2800.80 per share.
Infosys Ltd
Infosys Ltd is an Indian multinational technology services company, headquartered in Bengaluru, that provides consulting, digital, and outsourcing services. Founded in 1981 by seven engineers led by N.R. Narayana Murthy, it has grown into a global leader serving clients in numerous countries and offering services like AI, cloud, and digital solutions. Motilal Oswal, upgraded its rating to Buy with a Target of Rs. 2,150 on it, suggesting an upside potential of 39% from the previous day’s close.
With a market capitalization of Rs. 6,40,193.25 crores on Wednesday, the shares of the company rose by upto 1.15 percent, reaching a high of Rs. 1547.70 per share compared to its previous closing price of Rs. 1530.00 per share.
Zensar Technologies Ltd
Zensar Technologies is an Indian digital solutions and technology services company, a subsidiary of the RPG Group, headquartered in Pune. It offers a range of services, including digital experience design, engineering, and advanced analytics, to help global companies with business transformation. Motilal Oswal, upgraded its rating to Buy with a Target of Rs. 1,050 on it, suggesting an upside potential of 48% from the previous day’s close.
With a market capitalization of Rs. 16,538.04 crores on Wednesday, the shares of the company rose by upto 2.3 percent, reaching a high of Rs. 732.00 per share compared to its previous closing price of Rs. 715.25 per share.
Wipro Ltd
Wipro Ltd. is an Indian multinational corporation that provides IT, consulting, and business process services globally. Founded in 1945, it has grown from a consumer goods company into a leading technology services provider headquartered in Bengaluru, India. Today, the company employs over 230,000 people across 65 countries and offers services including digital transformation, data analytics, cloud infrastructure, and AI-powered solutions. Motilal Oswal, changed its rating to Neutral with a Target of Rs. 275 on it, suggesting an upside potential of 13% from the previous day’s close.
With a market capitalization of Rs. 2,59,591.66 crores on Wednesday, the shares of the company rose by upto 1.48 percent, reaching a high of Rs. 249.25 per share compared to its previous closing price of Rs. 245.80 per share.
Rationale for the Target on the IT stocks
Motilal Oswal’s note highlights a significant shift in the IT Services sector within the Nifty 50, noting that while IT’s share of profits has remained stable at 15%, its weightage in the index has dropped to a “decadal low” of 10%, from a peak of 19% in December 2021. This decline presents a potential opportunity, with the brokerage suggesting that current levels already factor in pessimistic scenarios like Gen-AI-led deflation and weak demand.
The note compares the current situation to the cloud build-out phase of 2016-2018, where key infrastructure is now in place, setting the stage for increased spending on AI and services. Motilal Oswal believes the bottom for IT stocks is already behind, and risks are skewed to the upside.
They’ve upgraded growth estimates for FY 2027-2028, anticipating a recovery as enterprises move towards full-scale AI deployment. As a result, the brokerage has raised price targets and multiples by up to 20% and rolled over these targets to FY 2028 EPS.
Written by Sridhar J
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
