Delhivery stock: broker targets imply 32% upside now

What put Delhivery shares in focus

Delhivery shares were in focus after multiple brokerages reiterated positive views and set higher price targets, pointing to operational improvements and sector consolidation. JM Financial said the stock could rise as much as 32% from the previous close, while Motilal Oswal highlighted a 26% upside case in its note. The commentary follows Delhivery’s latest quarterly performance, where the company reported higher profitability on stable revenue and better efficiency. The stock also saw an early move on the day, extending recent momentum seen over the past few months.

Early trade: price action and levels cited

In early deals, Delhivery gained 2.5% to Rs 472.50, compared with the previous close of Rs 460.85. The stock opened higher at Rs 469.40. Separately, another market update around Motilal Oswal’s initiation of coverage noted the stock up about 2% intraday to levels such as Rs 416.85 on the NSE, with an intraday high cited at Rs 418.70 on the BSE in that session. One report also described the stock as hitting about Rs 417, the highest since October 15, 2024, after Motilal Oswal initiated coverage.

JM Financial’s call: Rs 605 target, 32% upside

JM Financial pegged a target price of Rs 605 for Delhivery and projected an upside of 32% from the previous close referenced in the report. The brokerage view was one of the more optimistic targets cited across the coverage in the provided material. The note was presented alongside broader market commentary that several brokerages expect further upside from current levels.

Motilal Oswal’s higher target: Rs 580 and growth CAGRs

Motilal Oswal set a target price of Rs 580, implying a potential 26% upside in its cited scenario. The brokerage said it expects Delhivery to report sales/EBITDA/APAT CAGR of 13%/33%/83% over FY26-28, and reiterated a BUY rating with a DCF-based target price of Rs 580. The stated drivers included growth and operating leverage, supported by the company’s execution and scale.

Other targets cited: Emkay at Rs 500, and a revised Rs 500 by MOFS

Emkay Research reiterated a BUY rating with a Rs 500 target price for Delhivery. In another update following Q1 results, Motilal Oswal Financial Services (MOFS) raised Delhivery’s target price to Rs 500 from Rs 480, while maintaining a Buy rating. MOFS attributed its view to scalable growth with margin expansion and network synergies, and pointed to asset optimisation and acquisitions as support factors. MOFS also projected 16-18% margin sustainability over the next two years and forecast CAGRs of 14% in sales, 38% in EBITDA, and 53% in adjusted PAT (APAT) for FY25-28.

Initiation note highlights: DCF inputs and margin expectations

A separate Motilal Oswal initiation note cited a DCF-based target price of Rs 480, using a WACC of 12% and a terminal growth rate of 5%. That note projected 14% revenue CAGR over FY25-28, led by express parcel and part truck load (PTL) businesses, and expected EBITDA margins to climb to 7% by FY28. It also referenced EBITDA and APAT CAGRs of 36% and 52% respectively over FY25-28. The same set of notes also included segment growth expectations of 18% revenue CAGR in PTL and 10% in express parcels over FY25-28.

Quarterly result trigger: Q1 profit up 68.5% YoY

Delhivery reported a net profit of Rs 91 crore for the June quarter. The update said profit rose 68.5% year-on-year, supported by stable revenues and improved operational efficiency. The broker commentary in the provided text linked the improved profitability to operational discipline and efficiency gains.

Analyst positioning and consensus snapshot

One market note said 23 analysts cover Delhivery, with 19 “buy”, three “hold”, and one “sell” rating. It added that consensus target estimates imply an upside potential of 22% from current levels. Another data point compiled by LSEG in the material said Delhivery is rated “buy” by 21 analysts on average, with a median target price of Rs 418.

Key data table

Market impact: what the targets and numbers signal

The cluster of targets between Rs 500 and Rs 605 keeps Delhivery on investor watchlists, especially after a profit-led quarterly update. The breadth of projections also shows that broker models differ on the pace of operating leverage and the benefits of consolidation and acquisitions. Where Motilal Oswal and MOFS emphasised margin expansion and network synergies, other notes pointed to PTL and express parcel growth as core contributors to the projected multi-year CAGRs. In the near term, the stock’s reaction in early trade suggests the market is taking incremental cues from profitability and the direction of broker targets.

Performance context: recent gains, longer drawdown

Delhivery shares have gained 23% year-to-date and risen 41% in the last three months, as cited. However, the stock remains 32% lower over the past three years. Another reference point in the provided material said the stock is trading 41% below its all-time high of Rs 708 reached in July 2022. The same note cited Delhivery’s IPO price at Rs 487 and listing price at Rs 536 per share.

Analysis: why this set of broker notes matters

The broker commentary centres on measurable drivers: profitability improvement, margin trajectory, and the potential for growth across express parcel and PTL. The targets also show how valuation frameworks vary, with DCF assumptions explicitly mentioned in the initiation note, including 12% WACC and 5% terminal growth. For investors, the practical takeaway from the material is that near-term price action is being assessed alongside multi-year CAGR expectations and the durability of margins that brokerages say could be sustained. The divergence between targets such as Rs 480, Rs 500, Rs 580, and Rs 605 underlines how sensitive price objectives can be to assumptions on execution and operating leverage.

Conclusion

Delhivery’s early-trade uptick and a series of BUY recommendations have kept the stock in focus, with targets implying upside ranging from the high teens to above 30% in the cited notes. The immediate trigger in the material is the Q1 profit of Rs 91 crore, up 68.5% YoY, alongside broker expectations of margin improvement and growth across core logistics segments. Investors will likely track subsequent quarterly updates for evidence that the profitability trend and the broker-projected multi-year CAGRs remain on track.