Tata Elxsi, Laurus Labs, Inox Wind, Glenmark Pharmaceuticals, BHEL and Jindal Steel were among major gainers on Friday as markets made a modest recovery after major selling witnessed on Thursday. Global markets were trading mixed despite geopolitical risks in the Middle East. Indian markets are still looking bearish and we could see further selling. Investors should be aware that NSE Nifty and BSE Sensex are quite close to yearly lows and markets could get support around those levels. TopNews Team has reviewed technical levels some of the stocks that are looking good at current levels.

Laurus Labs stands out with strong earnings delivery, rising CDMO visibility, and fresh brokerage conviction, positioning it as a momentum-driven outperformer. Tata Elxsi, meanwhile, is transitioning from earnings disappointment toward a potential recovery story, supported by new deal wins and AI-led product initiatives, though valuation concerns persist. Inox Wind represents a high-beta renewable play where demand remains robust, but execution bottlenecks—particularly around grid connectivity and project rollout—continue to weigh on sentiment. Investors are increasingly differentiating between delivery, optionality, and execution risk.

Laurus Labs: Strong Earnings Delivery Anchored by CDMO Expansion and Structural Tailwinds

Laurus Labs has emerged as the clearest near-term winner among the three stocks, driven by robust operational execution and increasing confidence in its long-term business transformation.

The company’s Q3 FY26 performance marked a decisive inflection point. Revenue expanded 26% year-on-year to Rs 1,778 crore, supported by sustained strength in both generics and CDMO segments. Importantly, gross margins held near 60%, while EBITDA margins exceeded 27%, underscoring not just growth but quality of growth. These metrics signal operational efficiency and pricing discipline—key attributes for sustained rerating.

The market’s reaction was immediate. Shares rose approximately 4% on March 20, 2026, with elevated trading volumes, reflecting renewed investor confidence in earnings durability and forward visibility.

What distinguishes Laurus is not just quarterly performance, but the structural shift in its business mix.

The CDMO (Contract Development and Manufacturing Organization) segment is increasingly becoming the core growth engine. Brokerage estimates suggest CDMO contribution could expand from 16% to 32% of revenue by FY28, a transformation that typically commands higher valuation multiples due to superior margins and longer-term contracts.

Motilal Oswal’s March 19, 2026 report reinforced this thesis, maintaining a Buy rating with a target price of Rs 1,280. The brokerage highlighted Laurus’ expanding capabilities in high-value segments such as:

Antibody-drug conjugates (ADC)
Peptides
Cell and gene therapy (CGT)
Fermentation technologies
Continuous manufacturing

These capabilities position Laurus as a strategic partner to global innovator pharma, not merely a volume-driven API supplier.

Additionally, Laurus continues to benefit from its legacy strengths.

Stable ARV (antiretroviral) portfolio providing steady cash flows
Increasing filings in developed markets, with 4 dossiers filed and 5 approvals received in 9M FY26
Ongoing capacity expansion through the KRKA joint venture, with phase-1 completion expected by mid-2027

Another noteworthy development is the NCLT-approved composite restructuring, effective April 1, 2026. While not immediately earnings-accretive, such internal consolidation enhances capital allocation clarity and operational efficiency over time.

Strategic takeaway: Laurus is transitioning from a cyclical pharma manufacturer to a structurally higher-quality platform. With earnings delivery already validated, the next leg of rerating is likely to be driven by sustained CDMO scaling and margin expansion.

Tata Elxsi: From Earnings Shock to Strategic Rebuild—Optionality Versus Valuation Debate

Tata Elxsi is currently navigating a delicate transition—from a premium-valued growth stock facing earnings disappointment to a potential recovery candidate supported by new business wins.

The most recent sentiment catalyst came on March 19, 2026, when the company announced the establishment of a Global Offshore Development Center (ODC) for Terumo Corporation. This partnership focuses on cardiac and vascular solutions and integrates Tata Elxsi’s capabilities in engineering, regulatory compliance, localization, and AI/GenAI technologies.

The market responded positively. Shares gained roughly 5% on March 20, 2026, indicating that investors view the deal as a meaningful signal of renewed deal momentum, particularly in healthcare—a segment that had underperformed in recent quarters.

A second strategic lever is the launch of DevStudio.ai on March 5, 2026.

This multi-agent, ASPICE-aligned GenAI platform is designed to accelerate automotive software development. It supports multiple large language models and claims improvements in:

Speed-to-market
Engineering productivity
Software lifecycle efficiency

Given Tata Elxsi’s positioning in software-defined vehicles (SDVs), this platform could help defend its premium positioning and deepen engagement with OEMs and Tier-1 suppliers.

However, the shadow of weak Q3 FY26 results continues to loom.

Reported profit declined 45.3% YoY to Rs 1.09 billion
Impact driven largely by a one-time Rs 956.9 million labour-code-related charge
Revenue still grew modestly by 1.5% YoY to Rs 9.53 billion
Adjusted profit (excluding exceptional items) fell a milder 5.4%

This divergence between reported and underlying performance has created analytical complexity for investors.

Broker sentiment remains cautious and divided:

Prabhudas Lilladher projects a revenue CAGR of 9.9% and earnings CAGR of 23.4% over FY26–FY28, suggesting that while growth exists, it may not justify the historically elevated valuation multiples.

The core debate around Tata Elxsi is now centered on sustainability of growth.

Investors are asking:

Can healthcare and media verticals recover meaningfully?
Will transportation (automotive) growth remain resilient amid global EV uncertainties?
Can new initiatives like DevStudio.ai translate into tangible revenue acceleration?

Strategic takeaway: Tata Elxsi is no longer a straightforward growth compounder. It has become a “prove-it” story, where sentiment is improving, but valuation rerating will depend on consistent execution in upcoming quarters.

Inox Wind: Strong Demand Visibility Undermined by Execution Bottlenecks

Inox Wind represents a classic high-beta renewable energy play—where demand remains strong, but execution challenges are increasingly dictating stock performance.

The company’s Q3 FY26 results initially appeared robust:

Net profit rose over 14% to Rs 126.65 crore
Total income increased to Rs 1,238.42 crore
Order inflow reached 600 MW in FY26
Total order book stood at 3.2 GW, implying 18–24 months of revenue visibility

On paper, these metrics suggest a healthy growth trajectory.

However, the underlying issue lies in execution shortfalls.

Motilal Oswal’s February 14, 2026 report highlighted that:

Revenue grew 33% YoY to Rs 12.1 billion
But missed estimates by 34%
Execution stood at 252 MW vs expected 300 MW
EBITDA missed estimates by 15% despite strong margins (~23%)

ICICI Securities further emphasized structural bottlenecks:

Right-of-way (RoW) challenges
Grid connectivity delays
Power purchase agreement (PPA) bottlenecks
High working capital cycle (~210 days)

These issues prompted a reduction in guidance and tempered investor expectations.

Broker actions reflect this nuanced outlook:

JM Financial’s downgrade is particularly telling. While acknowledging the strong order book, the brokerage reduced execution assumptions due to:

Grid connectivity constraints
Delays in project commissioning
Slower-than-expected conversion of orders into revenue

Importantly, demand visibility remains intact.

The company has secured significant orders from:

Aditya Birla Renewables
Jakson Green
Amplus/Gentari
First Energy

Additionally, a 2.5 GW framework agreement provides multi-year growth visibility.

The market, however, is shifting its focus from demand to execution velocity.

Earlier, a strong order book alone could drive rerating. Today, investors are demanding:

Faster project commissioning
Improved working capital efficiency
Resolution of grid and evacuation challenges

Strategic takeaway: Inox Wind remains a structurally attractive renewable play, but near-term stock performance will be dictated by operational execution rather than order inflows.