JP Morgan starts Orkla India at 'overweight', sees spices and convenience food growth

Orkla ASA

17/12/2025 04:57

** JP Morgan initiates coverage on Orkla India ORKL.NS, parent of Indian ready-to-eat brand MTR Foods, with "overweight" rating, PT of 745 rupees – about 21% upside to last close

** JP Morgan says Orkla is a leading player in packaged spices and convenience foods; sees tailwinds from shift to branded spices and rising demand for ready-to-cook meals

** Brokerage expects revenue/EPS CAGR of 9%/13% over FY26–28, with EBITDA margin expanding ~80 bps on operational efficiencies and eastern India portfolio turnaround

** Notes attractive valuation at 25x FY27E P/E vs peers

** Upside risks include faster convenience food adoption and export growth; downside risks stem from raw material volatility and regional concentration – JPM

** ORKL is down 0.4% on Wednesday

(Reporting by Brijesh Patel in Bengaluru)

((Brijesh.Patel1@thomsonreuters.com; Ph no. +91 9590227221;))