The company’s revenue increased by 29% YoY to Rs 28,868 crore for the period under review, compared to Rs 22,462 crore in the same quarter of FY24.
On a sequential basis, net profit was down 27.5% from Rs 1,371.8 crore posted in the preceding March quarter. Revenue, however, surged 6.7% QoQ from Rs 27,058 crore in the March 2024 quarter.
Here is what brokerages say:
JP Morgan: Overweight| Target price: Rs 195
JP Morgan maintained an overweight rating on the stock and has hiked the target price to Rs 195 from Rs 165.Strong momentum across businesses was seen while Investment in growth continued. The global brokerage firm expects SAMIL to witness robust revenue growth – FY24-27 CAGR of 13%. The company is maintaining a healthy balance between leverage, ROCE and growth capex.Also read: SJVN shares jump 9% on 31% YoY jump in Q1 profit
Nuvama: Buy| Target price: Rs 220
Considering the subdued outlook for global light vehicles and input/logistics cost pressures, Nuvama has reduced its FY25–27E EBITDA by 4% each. However, they are constructive on SAMIL’s prospects on the back of its strong management capabilities, inorganic initiatives, pending orders and increasing content due to remiumisation/electrification.
Motilal Oswal: Buy| Target price: Rs 218
Given its well-diversified presence across components, geographies, and customers, SAMIL is emerging as the key beneficiary of the growing popularity of EVs and the rising trend towards premiumization across segments. This is evident in a significant ramp-up in its order book, with its booked business scaling up to $ 83.9 billion.
JM Financial: Buy| Target price: Rs 200
Barring EU, demand environment for light vehicles continue to remain healthy across geographies. Premiumisation and hybridisation continues to drive content per vehicle growth owing to SAMIL’s powertrain-agnostic product portfolio. Recent acquisitions have started reflecting favourably on overall performance. The company indicated a strong acquisition pipeline going forward. JM Financial said that they believe the company with its global presence, an expanding product portfolio and a wide customer base presents a multi-year growth opportunity.
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)
