Goldman Sachs has maintained its Buy call on Hitachi Energy India, increasing the target price to ₹13,350. The brokerage highlights the company’s expanding order pipeline and potential for margin enhancement as key factors driving this positive outlook.
Key Catalysts Identified:
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HVDC Equipment Orders: Goldman Sachs anticipates that Hitachi Energy India is well-positioned to secure contracts from the robust High Voltage Direct Current (HVDC) pipeline in the coming years, which could significantly bolster revenue streams.
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Capacity Expansion: The company’s plans to scale up manufacturing capabilities aim to meet the rising domestic and export demand, potentially leading to improved economies of scale and profitability.
Reflecting these factors, Goldman Sachs has raised its EBITDA estimates for Hitachi Energy India by 10-50% for FY25E-FY27E, underscoring confidence in the company’s growth trajectory.
