Samvardhana Motherson has drawn a wave of brokerage commentary after unveiling its seventh five-year plan (FY25–30), targeting revenues of $108 billion by FY30 compared with $25.7 billion in FY25. At the current market price of ₹94.39, brokerages’ targets imply an upside potential of up to 24 percent.
JPMorgan maintained an overweight rating with a target price of ₹105 per share. The brokerage highlighted management’s long-term vision, which includes improving group RoCE to 40 percent from 18.4 percent, adopting the “3CX10” rule—ensuring no country, customer, or component accounts for more than 10 percent of revenues—and raising dividend payout to as much as 40 percent.
Jefferies reiterated a buy rating with a higher target price of ₹110, saying the revenue plan represents a 5x jump over FY25 levels, with 25–33 percent of revenues expected from non-auto businesses. The brokerage said the strategy signals a pivot from pure automotive to a broader manufacturing play spanning electronics, aerospace, and other high-growth sectors.
Nuvama also maintained its buy call with a target of ₹110, pointing out that up to 75 percent of incremental revenues are expected to come from acquisitions. It said additional entity listings, including for Motherson Wiring, are planned to unlock value. Nuvama added that aerospace sales are projected to grow more than 2.5x by FY30, supported by a $1 billion-plus order book, while consumer electronics plants are expected to begin operations by FY27 with a planned capex of ₹2,600 crore.
InCred took a slightly cautious stance with an add rating and a target of ₹117. It said the plan to quadruple revenues in five years appears stretched compared with the company’s historical pace of doubling every five years in the past decade. However, InCred noted that the company’s low net debt/EBITDA gives it room for large M&A, while opportunities remain in Korea, China and deeper OEM penetration in the US and Europe.
Overall, brokerages see Samvardhana Motherson’s scale-up strategy as ambitious but supported by strong manufacturing capabilities and global diversification, even as execution challenges and high growth assumptions remain a key monitorable.
Disclaimer: The views and investment recommendations expressed above are those of the respective brokerages. They do not represent the views of this publication. This article is for informational purposes only and is not investment advice.
