Monarch Networth Capital has picked five stocks across sectors ranging from electronics retail and IT to capital goods, metals and mining, and hotels for its Q3FY27 portfolio. The brokerage has assigned a BUY rating to all five stocks, with potential upside ranging from 26% to 51% based on its October 2026 report.
TajGVK Hotels & Resorts tops the list with a potential upside of 51%, followed by Godawari Power & Ispat at 45%. Aditya Vision, Capillary Technologies and Carborundum Universal each have a potential upside of 26%, according to the brokerage’s target prices.
The recommendations are based on expectations of business expansion, improving profitability, new growth opportunities and stronger earnings over the coming years.
Aditya Vision: BUY | Target price ₹720, upside 26%
The brokerage likes the company’s strong position in eastern India. Aditya Vision is the largest electronics retailer in Bihar, where it commands more than 50% market share, and also has a leading presence in Jharkhand. It has recently entered Uttar Pradesh to expand its footprint.
The company operated around 210 stores as of Q1FY27 and has not closed a single store since starting operations in 1999. Monarch expects its store count to increase to 318 by FY29.
Strong festive demand and sales of air conditioners, refrigerators, televisions and washing machines could support growth. Demand for air conditioners has remained strong amid higher temperatures in Bihar, potentially helping margins because of the product’s relatively higher profitability. Monarch expects revenue, EBITDA and profit after tax (PAT) to grow at annualised rates of 22.8%, 27% and 33%, respectively, between FY26 and FY29.
Capillary Technologies: BUY | Target price ₹700, upside 26%
The brokerage sees its loyalty solutions business as a major strength, contributing more than 90% of revenue. New client wins and the migration of customers from acquired businesses to Capillary’s platform could support growth and improve profitability.
Monarch expects the company to benefit from operating leverage, as revenue growth and better cost absorption help margins expand. Its artificial intelligence product, aiRA, is another potential growth driver.
The brokerage projects revenue, EBITDA and adjusted PAT to grow at annualised rates of 21.7%, 46.6% and 66.4%, respectively, between FY26 and FY29. EBITDA margins are expected to increase from 12.6% in FY26 to 22.1% by FY29. However, the brokerage has flagged risks including the loss of major clients, delays in product upgrades and slower conversion of aiRA trials into paying customers.
Carborundum Universal: BUY | Target price ₹1,563, upside 26%
The brokerage expects the company’s profitability to recover after a weak FY26, when its EBITDA margin declined to 11.1%. It attributed much of the pressure to losses at subsidiaries AWUKO and Foskor, with the fading impact of these businesses expected to support a recovery.
Carborundum’s ceramics business is another key attraction. It is the company’s highest-margin segment and is benefiting from demand linked to semiconductor and defence applications. The company’s integration across upstream materials such as bauxite, alumina and silicon carbide also gives it a cost advantage over competitors.
Monarch expects revenue, EBITDA and adjusted PAT to grow at annualised rates of 11%, 27.3% and 28.6%, respectively, between FY26 and FY29. It expects EBITDA margins to recover to 16.8% by FY29 as profitability improves and operating leverage strengthens.
Godawari Power & Ispat: BUY | Target price ₹314, upside 45%
Godawari Power & Ispat operates an integrated steel business, using captive iron ore to manufacture pellets and higher-value steel products. It is also expanding into cold rolling and battery energy storage systems (BESS), giving it additional avenues for growth. Monarch expects revenue, EBITDA and PAT to grow at annualised rates of 36%, 27% and 26%, respectively, between FY26 and FY29. It expects earnings to double over the next three years.
The expansion of iron ore mining capacity from 2.35 million tonnes per annum to 6 million tonnes, along with the doubling of pellet manufacturing capacity, could improve the company’s production and cost structure.
The brokerage expects captive iron ore availability to rise to around 70% in Q4FY27 and reach 100% from FY28. The BESS business could provide another growth driver, although delays in approvals, mining expansion or project execution remain risks.
TajGVK Hotels & Resorts: BUY | Target price ₹475, upside 51%
TajGVK Hotels & Resorts is Monarch’s top pick in terms of potential upside. The brokerage values the company’s premium hotel portfolio and its association with the Taj brand, which provides access to established distribution and operating expertise. Its zero-debt balance sheet and healthy cash generation also give it flexibility to expand.
A key near-term trigger is the planned opening of its 256-key hotel in north Bengaluru in the second half of FY27. The new property is expected to contribute more meaningfully to revenue and EBITDA from FY28.
Higher room rates, healthy occupancy and refurbishment-led premiumisation could also support growth. Monarch expects revenue, EBITDA and PAT to grow at annualised rates of 26.4%, 26.6% and 15.4%, respectively, between FY26 and FY29. The company could expand its portfolio to around 4,000 keys over the next four to five years through organic and inorganic growth.
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
