Brokerage firm HSBC has raised its target price for UPL Ltd. shares to ₹925 per share from the previous ₹850 apiece, representing nearly a 9% increase in the target price. The brokerage maintains a 'buy' rating on the stock and projects a 15% upside potential from the previous closing price. According to reports, UPL shares were in focus on Thursday, January 8, following this target price revision.
HSBC highlighted UPL's subsidiary Advanta as a long-term value creator with a robust delivery mechanism. According to the brokerage analysis, Advanta has delivered an impressive revenue compound annual growth rate (CAGR) of 18% and earnings before interest, tax, depreciation and amortisation (EBITDA) CAGR of 23% over the last five years. HSBC noted that Advanta has markedly outperformed other seed companies both in India and globally.
HSBC cited media reports suggesting that UPL is considering a potential listing for Advanta on the capital markets. The brokerage believes this move could unlock value and support debt reduction for the parent company. HSBC sees drivers in place that will support growth and value creation going forward for the subsidiary.
In November 2025, UPL revised its financial projections upward. The company now sees its EBITDA growing between 12% to 16%, from its previous growth projection of 10% to 14%. Additionally, UPL has maintained its revenue growth guidance for financial year 2026 to be between 4%-8%, as reported.
Of the 22 analysts who have coverage on UPL, 16 have a 'buy' rating, four have a 'hold' rating and two have a 'sell' rating. UPL shares ended the previous session 0.6% up at ₹804.5 apiece. The stock has gained 49% in the past year, demonstrating strong performance over the period.
