February 19, 2026

TOP NEWS

Cochin Shipyard Update: Cochin Shipyard Limited (CSL) has signed a formal contract with CMA CGM, France, for the construction of six LNG-powered feeder container vessels of ~1,700 TEU capacity each. The order, earlier announced via LOI in October 2025, is classified as a Mega order under CSL’s criteria. The first vessel is scheduled for delivery in 36 months, with the final vessel to be delivered within 64 months.

Bharat Forge–VVDN MoU: Bharat Forge and VVDN Technologies have signed an MoU to explore strategic collaboration across automotive, defence, AI, and data centre domains. The partnership aims to jointly develop next-generation products, including AI server platforms, by combining VVDN’s strengths in electronics design and system integration with Bharat Forge’s expertise in advanced manufacturing and precision engineering. The collaboration focuses on innovation-driven, scalable solutions aligned with emerging technologies

HUL: The company has announced a proposed investment of up to Rs. 2,000 crore to expand manufacturing capacity in fast-growing premium categories across Beauty & Wellbeing and Home Care liquids. This investment will be done over a period of two years across multiple locations. The proposed investment is in line with the company’s strategy of focusing on fewer, bigger bets and strengthening its presence in high-growth demand spaces, including premium Skin care and Hair Care and Personal Care & Home Care liquids. Positive

Dr Reddy's Laboratories : The pharma company has entered into a definitive agreement with UK-headquartered specialty pharmaceutical company Mercury Pharma Group (MPGL) to acquire its trademarks, Progynova and Cyclo-Progynova, along with related assets for India, for $32.15 million.

NCC: the company received an order from the National Highways Authority of India (NHAI) barring it from participating in future tenders. NCC and its step-down subsidiary M/s O B Infrastructure has received an order of debarment from the National Highways Authority of India (NHAI). According to the order, the entities have been debarred from participating in any tenders or bids issued by NHAI for a period of two years, effective February 17, 2026. Negative 

BL Kashyap : The company has received a ₹300 crore order from CRC Greens Pvt. Ltd. for construction and supervision of civil structural works for a group housing project in Greater Noida, Uttar Pradesh.

Lloyds Metals: Lloyds Metals and Energy have informed the exchanges that it has integrated Virtus Lloyds Resources FZCO, a step-down company created in the Dubai Multi Commodities Centre (DMCC) Zone, on February 17th, 26 through its fully owned subsidiary, Lloyds Global Resources FZCO. The formation seeks to increase the company's investment activities in the UAE's Metals & Mining sector and to form strategic alliances with metals and minerals developers in the United States. (Positive)

MACRO WRAP

• The DJIA, the S&P500, and the Nasdaq Composite Index rose 0.3%, 0.6%, and 0.8% respectively. The Eurostoxx 50 jumped 1.4%. The Dollar Index rose 0.6% to 97.70 and EUR-USD dropped 70 pips to 1.1780.
• The US 2Y yield rose 3bp to 3.46% and the 10Y yield rose 2.5bp to 4.08%. The German 10Y yield was flat at 2.74%. The UK 10Y yield was also unchanged at 4.37%. Brent crude oil prices jumped 4.4% to USD70.40. Gold rose 2% to USD4,978. Silver rose 5% to USD77.20.
• Fed officials are split on interest rates: some favour cuts if inflation drops, others support holding or raising rates if inflation persists. Employment risks are reduced, but inflation concerns remain. Rates are unchanged at 3.5%-3.75% after last year's cuts.
• UK inflation eased to 3.0% in January 2026, the lowest since March 2025, driven by slower transport and food price rises. Core inflation fell to 3.1%, its lowest since August 2021. Monthly, consumer prices dropped by 0.5%.
• US housing starts rose 6.2% in December 2025 to 1.404 million, exceeding forecasts. US manufacturing output rose 0.6% in January 2026, surpassing expectations. Durable goods increased 0.8%, including motor vehicles, while nondurable goods went up 0.4%. Capacity utilization hit 75.6%, below the long-term average. Positive for USD
• Recent reports indicate that any potential U.S. military operation involving Iran would likely extend over several weeks, rather than resemble the short, targeted action previously undertaken in Venezuela. Market sentiment strengthened following indications that U.S. intervention could occur sooner than anticipated amid limited progress in U.S.–Iran discussions. As a result, crude prices recorded their strongest gains since October, with WTI (March delivery) rising 4.6% to USD 65.19 per barrel and Brent (April delivery) advancing 4.4% to USD 70.35 per barrel. Sentimentally negative for OMC’s.
• Data watch: US weekly jobless claims, Trade balance and Pending Home sales data.

INVESTMENT CALL

Viewpoint: Mrs Bectors Food Specialities Q3FY26 (Consolidated) result update – Steady Q3; growth outlook intact

View: Positive                  Reco. Price: Rs. 220                 Upside Potential: 25%

• Q3FY26 consolidated revenue grew 8.4% y-o-y, OPM rose 35 bps y-o-y to 12.8% and PAT increased by 10.1% y-o-y.
• Management eyes low-to-mid-teens growth in FY27, driven by mid-high teens growth in exports and bakery and low teens growth in QSR and domestic biscuits.
• OPM to reach 14% by H1FY27 led by a better mix, operating efficiencies and optimization of raw material imports to offset impact of suspended export incentives, with slight improvement expected in gross margins as well.
• Stock trades at 47x/36x/29x its FY26E/FY27E/FY28E EPS, respectively. We stay Positive on the stock with an upside of 25% in 12 months.

Valuation (Consolidated)                                                   Rs. crore

Results (Consolidated)                                                                               Rs. crore                                                   

Stock update: Indigo Paints Q3FY26 (Consolidated) result update – Better margins drive Q3; outlook improving

Reco: Buy                  Reco. Price: Rs. 975                 Price Target: Rs. 1,350

• IPL delivered strong margin performance in Q3FY26, with OPM rising 236 bps y-o-y to 19% (versus 17.7% estimated). Revenue/adjusted PAT grew 4.7%/16.4% y-o-y, respectively.
• After a muted October, good traction is visible since November and company expects the trend to continue in Q4.
• FY26 OPM is expected to improve with demand recovery, better product mix and lower A&P spends as a percentage of revenue.
• Stock trades at 30x/27x/24x its FY26E/FY27E/FY28E EPS, respectively. We maintain Buy on the stock with a revised PT of Rs. 1,350.

Valuation (Consolidated)                                                   Rs. crore

Results (Consolidated)                                                                               Rs. crore                                                   

Stock Update: Biocon Ltd. :  Execution holds key post merger.

Rating: Buy     Reco Price: Rs 378       Price Target: Rs 466

• Generics grew 24% y-o-y, while Biosimilars revenue rose just 9%.

• Post merger of biologics division, focus is highly on high-growth areas like oncology biosimilars (17 assets), supporting pipeline in insulins, GLP-1s, and immunology.

• CRDMO faced temporary customer issues in Q3 but the company extended BMS partnership to 2035.

• We value the stock at 40x on FY28E EPS and retain a Buy rating with a PT of Rs. 466.

        Valuation                                                                                                 Rs Crore

Stock Update: Torrent Pharmaceuticals Ltd. :  Robust Q3, awaiting acquisition synergies.

Rating: Buy     Reco Price: Rs 4,259       Price Target: Rs 4,735

• US business grew ~19% y-o-y, led by product launches and milder-than-expected price falls. Torrent targets ~$200 million in annual US sales by FY27.

• Topline in Brazil surged 27% y-o-y, cementing its status as a vital pillar for branded operations.

• Management reaffirmed that India and Brazil are primary growth drivers in branded segment, with ongoing medical representative expansion and emphasis on chronic treatments.

• We roll forward our valuation to FY28E and value the stock at 40x on FY28E EPS of Rs. 118.4 and retain a Buy with a revised PT of Rs. 4,735.

        Valuation                                                                                      Rs Crore

OTHER NEWS

Jindal Saw: Company have received a suspension letter from the American Petroleum Institute (API) Audit, restricting the use of the API monogram on certain seamless pipes due to audit non-conformances. (Slightly negative).

Zydus Lifesciences :The pharma company has received final approval from the United States Food and Drug Administration (USFDA) for Bosentan tablets for oral suspension, 32 mg. Bosentan tablets, which are used for the treatment of Pulmonary Arterial Hypertension (PAH), will be manufactured at the group's formulation manufacturing facility at the SEZ in Ahmedabad.

TVS Motor Company :The company has marked a historic milestone by reaching one million units of total production in Indonesia since commencing operations in the country 19 years ago.