3 weeks ago
Samvardhana Motherson hits 52-week high as brokerages raise targets
Samvardhana Motherson is a big company that makes parts for cars and other things.
After it shared its money results for the first part of the year, its share price jumped a lot and reached its highest point in 52 weeks.
The share price went up because the company is doing well in businesses that are not cars, like electronics.
Smart money experts at three big financial companies all said the stock is a good thing to buy.
They raised their target prices, which are guesses about how high the price might go.
One expert thinks the price could go to Rs 171, another to Rs 178, and the third to Rs 180.
These experts believe the company will keep growing because of new factories and buying other companies.
They also like that the company makes a lot of free cash, which it can use to buy more businesses.
Even though there is some inflation making costs higher, the experts are still hopeful.
Over the last year, people who bought this stock made almost 80% more money.
Samvardhana Motherson shares rallied nearly 10% to a fresh 52-week high of Rs 169.80 on the NSE after the company reported Q1FY27 earnings.
Nomura raised its price target to Rs 171 from Rs 155, maintaining a 'Buy' rating, citing strong non-auto ramp-up and high free cash flow.
Motilal Oswal maintained its 'Buy' rating and raised its price target to Rs 178, citing premiumization, EV transition, and acquisition integration.
JM Financial raised its price target to Rs 180 from Rs 156, expecting growth from consumer electronics, aerospace, and acquisitions including Yutaka and Nexans.
The stock has risen about 80% over the past 12 months, with brokerages implying further upside of over 10-16%.
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- Who
- Samvardhana Motherson, an auto components company, and brokerages Nomura, Motilal Oswal Financial Services, and JM Financial.
- What
- Samvardhana Motherson shares rallied nearly 10% to a fresh 52-week high of Rs 169.80 on the NSE after Q1FY27 earnings, with multiple brokerages raising price targets and maintaining 'Buy' ratings.
- Where
- Traded on the National Stock Exchange (NSE) of India.
- When
- After the company reported its quarterly earnings for Q1FY27.
- Why
- Driven by robust ramp-up in the non-auto business, steady earnings growth, high free cash flow, and growth in consumer electronics and aerospace segments.
Key facts
- 52-week high
- Rs 169.80
- Nomura price target
- Rs 171 (raised from Rs 155), Buy
- Motilal Oswal price target
- Rs 178, Buy
- JM Financial price target
- Rs 180 (raised from Rs 156), Buy
- Stock return (12 months)
- ~80%
- Nomura revenue growth estimates
- 11% FY27, 12% FY28, 18% FY29
- JM Financial FY27E EBITDA margin
- 9.8%
- Acquisitions to consolidate
- Yutaka (Q2FY27) and Nexans (Q2FY27)
Quotes
Motilal Oswal Financial Services
Brokerage firm Motilal Oswal
“"We factor in 16.5% and 16% revenue growth for FY27 and FY28 driven by emerging businesses. On margins, we expect pass‑through of higher raw material costs to have a denominator effect, and we estimate FY27E EBITDA margin to be at 9.8%."”
financialexpress.com
“"We expect SAMIL to continue to outperform global automobile sales, fueled by rising premiumization and EV transition, a robust order backlog in autos and non‑autos, and successful integration of recent acquisitions."”
financialexpress.com











