Pearl Global Industries Ltd (PGIL) shares experienced a significant surge in Wednesday's trading, jumping 12.11 percent to achieve an all-time high of Rs 2,115. The stock was last observed trading 10.14 percent higher at Rs 2,077.85, marking a year-to-date gain of 30.09 percent as of June 24, 2026.
This sharp upward movement in PGIL shares was primarily driven by Motilal Oswal Financial Services Ltd (MOFSL) initiating coverage on select textile companies, including Pearl Global, with a 'Buy' rating. The domestic brokerage anticipates robust revenue growth for Pearl Global, attributing it to planned capacity expansions across its manufacturing facilities in India, Bangladesh, Vietnam, and Indonesia.
Analyst Projections and Sector Outlook
MOFSL's analysis projects a Compound Annual Growth Rate (CAGR) of 14 percent for revenue, 25 percent for EBITDA, and 29 percent for APAT (Adjusted Profit After Tax) for Pearl Global over the financial years 2026-2028. Based on these optimistic forecasts, the brokerage has set a target price (TP) of Rs 2,300 for PGIL, implying an EV/EBITDA multiple of 15x on its FY28E earnings.
In addition to Pearl Global, MOFSL also issued 'Buy' ratings for other prominent textile players, including Gokaldas Exports Ltd (Gokex) with a target of Rs 1,110, Indo Count Industries Ltd at Rs 550, and Arvind Ltd with a target of Rs 670.
"Global brands increasingly favor large-scale, compliant suppliers with streamlined audit processes, positioning leading Indian exporters well for market share gains," stated MOFSL, highlighting the competitive advantage of major Indian textile firms.
The brokerage emphasized that most listed Indian textile companies are predominantly export-oriented. Exports contribute approximately 20 percent to India's total addressable market (TAM) for textiles, yet they offer superior profitability and return ratios compared to the highly fragmented domestic market. MOFSL further noted the significant potential for consolidation within India's textile export sector, suggesting that top players are well-positioned to expand their market share.