Analyst predicts up to 159% upside in Adani Total Gas while JSW Energy and Astral may rally over 50%
India’s midcap segment continues to outperform broader markets as the Nifty MidCap 100 scaled a fresh all-time high of 62,324 during Tuesday’s trading session. Strong domestic institutional buying, improving earnings performance, and sustained investor appetite for growth-oriented companies have fueled the ongoing rally in midcap stocks.
According to Muthuselvaraj, Research Analyst at Mirae Asset Sharekhan, the technical structure of the Nifty MidCap index remains highly positive, with the index likely to extend its rally towards 64,750 in the short-to-medium term.
The analyst believes strong Q4 earnings and resilient domestic liquidity have helped midcaps maintain momentum despite global geopolitical uncertainties and rising volatility in commodity markets.
Midcaps Continue to Outperform Benchmark Indices
The Nifty MidCap 100 index has surged over 18 per cent in the last two months, significantly outperforming the benchmark Nifty 50, which gained around 7.5 per cent during the same period.
Several midcap companies have witnessed sharp rallies amid strong earnings growth and improving investor sentiment. Stocks such as BSE, Laurus Labs, and Polycab India recently touched fresh lifetime highs.
Meanwhile, companies including Bharat Heavy Electricals Limited, Vodafone Idea, Hitachi Energy India, Tata Communications, and Oracle Financial Services Software have delivered gains of up to 77 per cent over the recent rally.
Adani Total Gas Could Deliver Massive Upside
Among the analyst’s preferred midcap picks, Adani Total Gas stands out with the highest upside potential.
Currently trading near ₹714, the stock has reportedly formed a strong technical base after correcting nearly 86 per cent from its previous peak of ₹4,000.
According to Mirae Asset Sharekhan, the stock is showing renewed strength and could potentially rally towards ₹1,850 in the medium term, implying a potential upside of nearly 159 per cent from current levels.
The analyst noted that the stock is trading above key exponential moving averages while technical indicators such as RSI and MACD continue to signal bullish momentum.
JSW Energy Shows Strong Breakout Pattern
JSW Energy is another midcap stock highlighted by the brokerage firm.
The stock, currently trading around ₹576, has reportedly broken out of a prolonged consolidation phase and continues to trade above its major moving averages across multiple timeframes.
Muthuselvaraj believes the technical structure indicates a potential move towards ₹900 in the medium term, representing an upside potential of nearly 56 per cent.
The analyst also highlighted strong momentum indicators and positive price action as signals supporting continued bullishness in the stock.
Astral Maintains Positive Technical Structure
The brokerage firm also remains optimistic on Astral, which is currently trading around ₹1,588.
According to the analyst, Astral has formed a bullish triangle pattern on its weekly chart and continues to trade above its 200-week exponential moving average, indicating sustained upward momentum.
The stock is projected to potentially move towards the ₹1,980–₹2,400 range in the medium term, suggesting an upside of more than 50 per cent from current levels.
Strong momentum indicators and sustained buying interest continue to support the company’s positive technical outlook.
Domestic Liquidity Driving Midcap Momentum
Market experts believe India’s strong domestic liquidity environment is playing a major role in sustaining the ongoing midcap rally.
Consistent inflows from:
- Mutual funds
- Retail investors
- Domestic institutional investors (DIIs)
- Systematic investment plans (SIPs)
have supported broader market participation even during periods of global volatility.
Analysts also believe improving corporate earnings and India’s strong economic growth outlook continue to attract investors towards mid-sized companies with scalable growth opportunities.
Investors Remain Cautious About Valuations
Despite the strong rally, market participants remain cautious about rising valuations in certain pockets of the midcap universe.
Experts warn that:
- Geopolitical tensions
- Crude oil price volatility
- Global interest rate movements
- Profit booking at higher levels
could trigger short-term corrections in the broader market.
However, analysts believe quality midcap companies with strong earnings visibility, scalable business models, and sectoral tailwinds may continue to outperform over the long term.