Kotak initiated coverage with a 'Buy' recommendation and a price target of ₹190 per share, which implies a potential upside of 20% from Friday's closing levels.
The brokerage said its constructive medium-term view on the company is anchored in a durable, product-led growth flywheel, expanding monetisation across broking, margin lending, wealth management and consumer credit, and a scalable in-house technology platform.
The initiation adds to a growing list of positive calls on the stock.
Last week, Motilal Oswal initiated coverage on Groww with a 'Buy' rating and a price target of ₹185 per share. Earlier, in December 2025, Jefferies had also initiated coverage with a 'Buy' call and a price target of ₹180.
The brokerages mentioned that Groww is now the largest broker in India in terms of active clients, despite having started operations only in FY21.
Jefferies has valued Groww at a premium to peer Angel One, citing faster growth, superior margins and lower exposure to the futures and options segment.
On earnings, Groww is seen delivering a 35% EPS CAGR over FY26-28, driven by around 19% growth in the core broking business led by client vintage and market share gains, a five fold growth in newer initiatives such as margin trading facilities and wealth management, and nearly 700 basis points of margin expansion.
Kotak's initiation marks the third 'Buy' recommendation on the stock, following Motilal Oswal and Jefferies in recent weeks.
Not all brokerages are convinced, however. JM Financial initiated coverage on Groww in December with a 'Sell' rating and a price target of ₹144, arguing that the stock's valuation is stretched for a broking business.
Shares of Groww ended nearly 1% lower at ₹158.90 on Friday. The stock is still up about 59% from its issue price of ₹100, but is down around 18% from its post listing high of ₹193.
