3 Stocks with upside potential of up to 39% recommended by ICICI Securities

Synopsis: ICICI Securities has recommended three stocks with potential upside of up to 39%, including Akums Drugs & Pharmaceuticals Ltd, PTC Industries Ltd, and Ahluwalia Contracts (India) Ltd.

ICICI Securities is one of the leading Indian financial services firms, known for its expertise in equity broking, wealth management, asset management, and investment banking. The company provides research-driven investment insights and personalised financial solutions to both retail and institutional investors.

Part of the ICICI group and one of the top brokers in India, ICICI Securities, has identified high-conviction stocks and assigned a “Buy” rating, highlighting the strong upside potential of upto 39% based on their analysis. In this article, let’s take a closer look at the stocks in the spotlight:

Akums Drugs & Pharmaceuticals Ltd

Akums Drugs & Pharmaceuticals Ltd, established in 2004, is India’s largest Contract Development and Manufacturing Organization (CDMO), providing end-to-end pharma solutions for tablets, capsules, injectables, liquids, and more, serving leading pharma, nutraceutical, and cosmetic companies with a focus on quality, innovation, and large-scale production.

With a market capitalization of Rs. 7,582.46 crore, the shares of Akums Drugs Pharmaceuticals rose upto 3.4 percent, making a high of Rs. 505.90 per share compared to its previous closing price of Rs. 489.00 per share. ICICI Securities, has initiated a Buy Target of Rs. 680 on the company’s shares with an Upside Potential of upto 39 percent from the previous day’s close.

Rationale

Akums Drugs and Pharmaceuticals (Akums) demonstrated strong Q3FY26 performance driven by robust growth in its CDMO (~16% YoY) and international formulations (~18% YoY) businesses. CDMO volumes surged ~28% YoY, while margins improved due to product mix, despite some pressure from pricing. 

Domestic and international generics showed steady recovery, and losses in trade generics and API segments are moderating. Strategic catalysts include the upcoming Zambia JV contract (~USD 25mn p.a.) and EUGMP-certified European supplies (~EUR 35mn p.a.) from FY28. Overall, improving margins, new orders, and contract wins underpin the upgraded earnings estimates and support a BUY rating.

PTC Industries Ltd

PTC Industries Ltd, established in 1963, is a premier Indian manufacturer of high-precision, critical metal components for aerospace, defence, and industrial sectors. Specialising in titanium and superalloy castings, the company operates advanced facilities for, using in-house technologies like Replicast and Forgecast. 

With a market capitalization of Rs. 26,448.36 crore, the shares of PTC Industries Ltd rose upto 0.8 percent, making a high of Rs. 18399.25 per share compared to its previous closing price of Rs. 18238.35 per share. ICICI Securities, has initiated a Buy Target of Rs. 21,000 on the company’s shares with an Upside Potential of upto 15 percent from the previous day’s close.

Rationale

PTC Industries (PTCIL) delivered a strong Q3FY26 performance with top-line up 132% YoY, driven by Aero Technologies (ATL) and TARC, while EBITDA rose 62% YoY despite margin pressures from product mix and turnaround efforts. 

Capacity expansions, including commissioned VAR (1,500tpa) and VIM (900tpa) facilities, and the upcoming 5,000tpa EBCHR plant, position PTCIL to benefit from India’s growing aerospace ecosystem. Secured orders from Blue Origin and Vikram Sarabhai Space Centre, along with plans for backward integration with a titanium sponge unit, underpin expectations for a quantum jump in earnings. 

Ahluwalia Contracts (India) Ltd

Ahluwalia Contracts (India) Ltd (ACIL), established in 1965,  is a leading Indian construction firm specializing in EPC (Engineering, Procurement, and Construction) for complex projects like hospitals, institutional buildings, data centers, and hotels. It is based in New Delhi, the company is known for high-quality, time-bound execution across public and private sectors, with over years of experience

With a market capitalization of Rs. 5,416.95 crore, the shares of Ahluwalia Contracts (India) Ltd rose upto 0.7 percent, making a high of Rs. 820.00 per share compared to its previous closing price of Rs. 813.70 per share. ICICI Securities, has initiated a Buy Target of Rs. 960 on the company’s shares with an Upside Potential of upto 18 percent from the previous day’s close.

Rationale

Ahluwalia Contracts (Ahluwalia) reported Q3FY26 results below estimates due to temporary execution delays from NCR construction bans, with Q3FY26 revenue of Rs. 10.6bn, EBITDA of Rs. 1bn, and adjusted PAT of Rs. 0.55bn. Despite this, order inflows continue to stay strong, with Rs. 96bn YTD already above FY26 guidance and an estimated orderbook of ~Rs. 214bn (book-to-bill ~4.8)

The company plans selective project uptake in FY27, and with execution expected to normalize, project FY25–28E CAGR of 17% for revenue, 26% for EBITDA, and 25% for PAT. Stock price correction and robust orderbook underpin an upgrade to BUY, with revised TP of Rs. 960.

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