Jefferies Identifies Three Metal Stocks With 23 Percent Upside Potential

Jefferies Financial Group has released its latest outlook on India’s metals sector, identifying Tata Steel, JSW Steel, and Jindal Stainless as stocks poised for meaningful gains. The brokerage expects these companies to benefit from strong domestic and global demand, improved steel spreads, and efficiency-driven margin expansion.  

According to Jefferies, Tata Steel and JSW Steel have historically delivered strong returns even when spreads were below ₹200 per tonne, while Jindal Stainless continues to expand its market presence with robust profitability. The report suggests that these companies are well-positioned to outperform peers, offering investors attractive opportunities in the year ahead.  

Key Highlights  

• Jefferies projects up to 23 percent upside in selected metal stocks  
• Top picks include Tata Steel, JSW Steel, and Jindal Stainless  
• Rising steel demand and favorable spreads underpin growth outlook  
• Operational efficiency and strong margins cited as competitive strengths  
• Historical performance supports confidence in sector resilience  

Final Takeaway  
Jefferies’ bullish stance on Tata Steel, JSW Steel, and Jindal Stainless signals optimism for India’s metals sector in 2026. With demand trends and efficiency gains, these stocks could deliver meaningful returns for investors seeking exposure to industrial growth.  

Sources: Reuters, CNBC TV18, Moneycontrol