JPMorgan Initiates Coverage on Adani Ports and JSW Infrastructure; Sees Up to 35% Upside
Shares of Adani Ports and Special Economic Zone Ltd. and JSW Infrastructure Ltd. are set to remain in focus on Thursday, March 5, after global brokerage JPMorgan Chase & Co. initiated coverage on both port operators with bullish ratings and double digit upside potential.JPMorgan Sets Overweight Rating on Adani Ports
JPMorgan has begun coverage of Adani Ports with an Overweight rating and assigned a target price of ₹1,944 per share. The target implies a potential upside of 35 percent from Wednesday’s closing level of ₹1,436.60. The stock ended the previous session 2.29 percent lower.In its sector note, the brokerage highlighted structural growth opportunities in India’s ports and logistics industry. It cited high entry barriers, ongoing industry consolidation, and strong pricing power among established players as key strengths supporting long term growth.
JPMorgan expects Adani Ports to deliver compound annual growth rates of 17 percent in revenue, 15 percent in EBITDA, and 16 percent in profit after tax between financial years 2025 and 2028. The anticipated expansion is expected to be driven by scale advantages, a diversified cargo portfolio, and its integrated logistics platform.
JSW Infrastructure Also Rated Overweight
JPMorgan has also initiated coverage on JSW Infrastructure with an Overweight rating and a target price of ₹310 per share. The target indicates a potential upside of 26 percent from its previous closing price of ₹245.20. The stock had declined 2.58 percent in the last session.According to the brokerage, JSW Infrastructure benefits from the execution capabilities of the JSW Group and strong intra group business relationships. The company is projected to more than double its cargo handling capacity to 400 million tonnes per annum by financial year 2030.
JPMorgan estimates that JSW Infrastructure will post compound annual growth rates of 38 percent in revenue, 30 percent in EBITDA, and 21 percent in profit after tax over financial years 2025 to 2028.
Structural Growth Drivers in India’s Ports and Logistics Sector
The brokerage underlined that capacity expansion, rising trade volumes, and operational efficiency gains are expected to support sustained sector growth. Both Adani Ports and JSW Infrastructure are also expanding their logistics and warehousing footprint, a move aimed at diversifying revenue streams and enhancing margin potential.Despite strong stock price performance over the past three years, with Adani Ports and JSW Infrastructure gaining 70 percent and 68 percent respectively compared to the Nifty 50, JPMorgan believes the market has yet to fully price in the long term structural strengths of the sector.
With fresh coverage and optimistic projections from a global brokerage, both port stocks are likely to attract investor attention in the upcoming trading session.
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