Nomura has reiterated its Buy rating on Samvardhana Motherson with a target price of ₹170, citing strong long-term growth potential in non-auto segments and through inorganic expansion.
While Q4FY25 margins came in below estimates, Nomura expects profitability to pick up in the coming quarters. The company has set an ambitious $108 billion revenue target in its next five-year plan.
At the current valuation of 17.5x FY27F EPS, Nomura finds the stock attractive, given its expected 27% EPS CAGR over FY25–27.
Disclaimer: The views and target prices mentioned in this article are as stated by Nomura. They do not represent the opinions or recommendations of this publication. Readers are advised to consult their financial advisors before making any investment decisions.
