Jefferies has reaffirmed its buy rating on Samvardhana Motherson, setting a target price of ₹215, suggesting a 31% potential upside from the current market price (CMP) of ₹163.90. The company expects its margins to improve in the second half of FY24 as it passes through cost increases to customers.
Additionally, Samvardhana Motherson’s electronics glass facility has commenced production, further supporting growth prospects. Despite reducing EPS estimates for FY25-27 by 9-16%, Jefferies projects a robust 32% EPS compound annual growth rate (CAGR) over FY24-27.
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