Motilal Oswal retains 'Buy' on JSW Infra as FY30 growth roadmap strengthens

With a balanced east-west coast presence and expanding inland logistics capabilities, JSWINFRA, analysts believe, is well-placed to benefit from India's push for multimodal integration

JSW Infrastructure (JSWINFRA) is well-placed to gain from India’s focus on multimodal integration and port-led industrial growth, according to research analysts at brokerage firm Motilal Oswal Financial Services (MOFSL), who have retained a 'Buy' rating on the stock.

 

Alok Deora and Shivam Agarwal, research analysts at MOFSL, expect JSWINFRA to consolidate its market dominance, driving a 15 per cent volume CAGR over FY25-28. Coupled with a sharp rise in logistics revenue, this is likely to result in a 24 per cent CAGR in revenue and 26 per cent CAGR in Ebitda over the same period. The brokerage has set a target price of ₹360, based on 17x FY28E EV/Ebitda.

 

 

The analysts highlighted that cargo volume growth in FY26 is expected to be around 8-10 per cent, with stronger traction anticipated in the second half of the year. JSWINFRA’s long-term strategy includes expanding port capacity to 400 mtpa by FY30 and developing a logistics platform aimed at generating ₹80 billion in revenue with a 25 per cent Ebitda margin.

 

Backed by disciplined capex, customer diversification, and multimodal infrastructure expansion, MOFSL said JSWINFRA remains well-positioned for structural growth across India’s maritime and logistics value chain.

Enough headroom for growth-led investments

MOFSL noted that JSWINFRA has entered into a transformative partnership with Minerals Development Oman (MDO) by acquiring a 51 per cent stake in a newly incorporated port SPV. The SPV will develop and operate a 27 mtpa greenfield bulk port to support industrial minerals projects in Oman’s Dhofar region.

 

The total project capex is USD 419 million, with a 36-month construction timeline, and commercial operations are expected to commence in 1QFY30. The port will primarily handle industrial minerals from MDO’s concessions.

 

“Considering JSW’s strong balance sheet, with net debt/equity at ~0.16x and net debt/Ebitda at ~0.75x, we believe it has sufficient headroom for growth-led investments,” the analysts said.

 

Well-placed to benefit from India’s multimodal push

JSWINFRA is executing multiple brownfield and greenfield expansion projects, with plans to scale up from 177 mtpa currently to 400 mtpa by FY30. Projects under execution total 121.6 mtpa (excluding Oman), including the Kolkata Container Terminal (6.3 mtpa), Tuticorin (7 mtpa), and JNPA Liquid Terminal (4.5 mtpa), expected to be completed during FY26-28. Strategic capacity upgrades are underway at Mangalore, Southwest Port, Dharamtar, and Jaigarh, targeting combined expansions of over 40 mtpa.

 

Landmark greenfield projects such as Keni Port (30 mtpa), Jatadhar Port (30 mtpa), and a 302 km slurry pipeline in Odisha are progressing on schedule, with commissioning planned between FY28-30.

 

Alongside port expansions, JSWINFRA is aggressively building its logistics infrastructure under JSW Ports Logistics, supported by an investment plan of ₹90 billion through FY30. At scale, this expansion is expected to generate ₹80 billion in revenue and ₹20 billion in Ebitda.

 

“With a balanced east-west coast presence and expanding inland logistics capabilities, JSWINFRA is well-placed to benefit from India’s push for multimodal integration,” the MOFSL analysts said. 

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