Kamal Ghorui
Stock market recommendations: Granules, and UltraTech Cement have been picked as the top stock recommendations from the week starting May 4, 2026 by Motilal Oswal Wealth Management Research Desk. Let’s take a look:
GranulesGranules India reported in-line revenue with a ~6% beat at the EBITDA and PAT level, driven by strong growth in FDF and APIs, while complex generics contribution increased to 46% (vs ~39% YoY), supporting margin expansion. Europe business saw strong scale-up (+49% YoY ex-Senn Chemicals), led by new launches and pipeline expansion, indicating improving geographic diversification.CDMO segment is gaining traction with Senn Chemicals achieving EBITDA break-even, while growth in peptides and controlled substances adds to future visibility. We expect ~15% CAGR in FDF over FY26–28, driven by strong base growth in formulations (74% of revenue), along with improving product mix. We expect ~27% PAT CAGR over FY26–28, supported by margin expansion from the peptide CDMO business, benefits of integrated R&D capabilities across Switzerland and India, & continued shift towards high-value complex generics & specialty products.UltraTech CementUltraTech Cement delivered a strong 4QFY26 result with revenue, EBITDA and adjusted PAT rising ~12%, ~21% and ~20% YoY respectively. The key positive was better cost control and operating efficiency, which helped margins improve despite a volatile input cost environment. The company crossed 200mtpa domestic grey cement capacity, the largest in any country excluding China, and has completed the integration of India Cements and Kesoram ahead of schedule.With acquired assets turning more efficient and utilisation levels healthy, UltraTech remains well placed to benefit from expected industry demand growth led by infrastructure, rural demand and housing. Management has guided annual capex of rupees 80 to 100bn, with plans to add ~37mtpa capacity to reach nearly 240mtpa by FY28E, while targeting net debt to EBITDA below 1x. We expect consol. Revenue/EBITDA/ PAT to grow at a CAGR of 13%/15%/18% respectively over FY26-28, supported by cost savings, expansion benefits and improving profitability.(Disclaimer: Recommendations and views on the stock market, other asset classes or personal finance management tips given by experts are their own. These opinions do not represent the views of The Times of India.)
