2 Large Cap Stocks Recommended as ‘Buy’ by Goldman Sachs, Jefferies and JPMorgan

Synopsis: Global brokerages are bullish on two large-cap stocks, citing strong Q3 growth, strategic initiatives, and robust order books, with the highest upside potential reaching 47 percent, signaling significant investor opportunity.

Brokerage upgrades and positive outlooks from global investment banks often draw strong market attention, especially when they involve large-cap stocks. Such endorsements typically reflect confidence in earnings visibility, sector tailwinds, valuation comfort, and long-term growth prospects, prompting investors to closely track the rationale behind these bullish views. Following are the list of stocks

Hindustan Unilever Limited

Hindustan Unilever Limited (HUL) is a leading FMCG company headquartered in Mumbai, India, and was founded in 1888. The company manufactures and sells a wide range of consumer products across segments including Home Care, Beauty and Wellbeing, Personal Care, and Foods. Its portfolio includes detergents, skin and hair care products, oral care items, deodorants, culinary products, tea, coffee, nutrition products.

With a market capitalization of Rs. 5,43,436.96 crore, the shares of Hindustan Unilever Limited closed at Rs. 2,312.90, down by 0.26 percent from its previous day’s closing price of Rs. 2,319 per equity share.

The company reported Q3FY26 revenue of Rs. 16,441 crore, up 5.7 percent YoY from Rs. 15,556 crore in Q3FY25 and 3.3 percent QoQ from Rs. 15,919 crore in Q2FY26, indicating steady growth across its core business segments.

Its EBITDA stood at Rs. 3,781 crore in Q3FY26, up 2.5 percent YoY from Rs. 3,689 crore in Q3FY25 but down by 0.03 percent QoQ from Rs. 3,782 crore in Q2FY26, indicating stable operating performance despite higher revenues.

The company posted a sharp jump in profit to Rs. 6,603 crore in Q3FY26, delivering a strong 121.0 percent YoY growth from Rs. 2,989 crore in Q3FY25. Sequentially, profit surged 145.1 percent QoQ from Rs. 2,694 crore in Q2FY26, reflecting a significant improvement in bottom-line performance.

Goldman Sachs 

Goldman Sachs has maintained a Buy rating on Hindustan Unilever but cut its target price to Rs. 2,750 from Rs. 2,800 (Upside of 21 percent), indicating a slightly moderated upside expectation.

The brokerage noted that Q3 performance signals a gradual recovery supported by multiple strategic initiatives. It expects home care growth to accelerate as pricing growth turns positive and sees encouraging signs of recovery in the foods segment. The recent organizational restructuring aimed at improving speed and innovation is viewed as a constructive step toward driving future growth.

Jefferies 

Jefferies has retained a Buy rating on Hindustan Unilever and raised its target price to Rs. 2,850 from Rs. 2,815 (Upside of 23 percent), reflecting improved confidence in the company’s outlook.

The brokerage highlighted management’s confident tone and its focus on speed, agility, and customization under the ‘Unified India’ strategy. It sees a clear push toward portfolio transformation with fewer but higher-impact bets. While Jefferies appreciates the strategic direction and commentary, it believes the stock may remain range-bound until a visible pickup in growth materializes.

Hindustan Aeronautics Limited

Hindustan Aeronautics Limited is a Bengaluru-based aerospace and defence company engaged in the design, development, manufacturing, repair, overhaul, and upgrade of aircraft, helicopters, aero-engines, avionics, and aerospace structures. Its portfolio includes trainer and combat aircraft, transport aircraft, utility and combat helicopters, turbofan and turboshaft engines, as well as aerospace components such as propellant tanks and cryogenic engines.

With a market capitalization of Rs. 2,83,560.60 crore, the shares of Hindustan Aeronautics Limited were trading at Rs. 4,240.00, up by 0.33 percent from its previous day’s closing price of Rs. 4,226.10 per equity share.

The company reported revenue of Rs. 7,699 crore in Q3FY26, registering a 10.7 percent YoY growth compared to Rs. 6,957 crore in Q3FY25. On a sequential basis, revenue increased by 16.1 percent QoQ from Rs. 6,629 crore in Q2FY26, reflecting steady expansion in topline performance.

EBITDA stood at Rs. 1,871 crore in Q3FY26, marking an 11.2 percent YoY rise from Rs. 1,683 crore in the corresponding quarter last year. Sequentially, EBITDA grew 20.1 percent QoQ from Rs. 1,558 crore in Q2FY26, indicating improved operating performance and better cost efficiency during the quarter.

Net profit came in at Rs. 1,867 crore in Q3FY26, up 29.7 percent YoY from Rs. 1,440 crore in Q3FY25. Compared to Rs. 1,669 crore in Q2FY26, profit rose 11.9 percent QoQ, highlighting strong bottom-line growth supported by higher operating gains.

Goldman Sachs 

Goldman Sachs has maintained a Neutral rating on HAL with a target price of Rs. 5,255 (Upside of 23.93 percent), indicating a balanced risk-reward outlook at current levels.

The brokerage noted that Q3FY26 results reflected stable performance, though margins were impacted by higher-than-expected employee costs. While HAL’s robust order book provides comfort, execution of the Tejas Mk-1A order remains a key monitorable. Goldman Sachs is awaiting a meaningful pickup in execution before turning more constructive on the stock.

JP Morgan

JPMorgan has retained an Overweight rating on HAL with a target price of Rs. 6,004 (Upside of 41.6 percent), reflecting confidence in the company’s long-term growth potential.

The brokerage stated that Q3FY26 results were largely in line with expectations, highlighting that quarterly profit and loss can remain volatile due to the nature of HAL’s business. It emphasized HAL’s strong market opportunity even excluding the AMCA program and views current valuations as attractive. Timely delivery of LCA aircraft is seen as a key catalyst for stock re-rating.

Jefferies

Jefferies has maintained a Buy rating on HAL with a target price of Rs. 6,220 (Upside of 46.7 percent), suggesting meaningful upside from current levels. The brokerage highlighted that the stock trades at a 40 percent discount to BEL, with execution delays largely priced in. Q3 EBITDA was 5 percent above estimates, driven by a 3 percent revenue beat, while 9M revenues grew 11 percent YoY compared to management guidance of 8–10 percent. Jefferies believes that delivery of the first batch of Tejas Mk-1A aircraft within the next six months could trigger a re-rating, with limited downside risk from current levels.

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