Nomura increased its target price for the shares of EV scooter-maker Ather Energy to Rs 1,470 apiece from Rs 1,120 apiece, saying that it expects electric two wheeler penetration trends to accelerate further in India.

Naming Ather Energy as its top pick to ride on the EV momentum, which it believes to be at an inflection point, the international brokerage said that the company is likely to be a key beneficiary from this trend. The latest target price implies an upside potential of 22.5% from the stock’s previous closing price of Rs 1,200 apiece on NSE.

Nomura noted that Ather has been able to maintain its market share at 18% in FY26 and is currently supply constrained. Its launch of new affordable scooter under the EL platform from Q3 FY27 onwards with a new plant should help address the Rs 100-125k segment (which comprises 45% of the industry), in the international brokerage’s view, which added that success of the new motorcycle platform in the future can provide further upside to estimates.

“Hence, we raise our volume estimates for Ather to 399k (+53% YoY) / 622k (+56% YoY) compared to 399k/510k earlier in FY27/28 and introduce FY29 estimates with 824k units (+32% YoY). Despite a weaker mix, our average selling prices are up by nearly 2% on price hikes to pass on the commodity costs. Hence, we expect strong 54%/57%/36% revenue growth over FY27F/28F/29F. We have factored in some moderation in EV momentum as the Middle-East conflict related fuel price risks have eased. If that doesn’t happen, there will be further upside to our estimates,” Nomura said.

Also Read | Ather Energy said to plan $200 million share sale in India

The international brokerage expects EBITDA to improve from a negative 6% in FY27 to 5.1% in FY29, and the company should achieve PAT breakeven in FY29. “Along with strong growth, Ather’s premium positioning keeps long-term margin potential in the range of 15-20%, in our view. Hence, we believe Ather’s premium valuation at 5-7x EV/sales should sustain…We believe the current valuation at 4.0x FY28F EV/sales is attractive given the outlook. We maintain Ather as our top pick in 2Ws,” Nomura concluded.
Ather Energy share priceAther Energy shares had made a muted debut on the Indian exchanges in May last year. The shares listed at Rs 328 per share on NSE, marking a premium of 2.18% over the IPO price. The stock then soared a whopping 273% to hit a fresh 52-week high of Rs 1,222.10 apiece today.

Also Read | Ather Energy shares debut at 2.2% premium over IPO price

Ather Energy shares have gained more than 4% in one week and 16% in one month. The stock is overall up around 62% in 2026 so far, and around 270% in one year. The company currently has a market capitalisation of nearly Rs 46,480 crore.

(With inputs from agencies)
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Shares of Uno Minda, a global manufacturer and supplier of auto components, gained over 3% to Rs 1,169 on the BSE on Thursday after Motilal Oswal initiated coverage with a Buy call and a target price of Rs 1,406, an upside of 25% from current market levels.

The domestic brokerage said the company is emerging as one of the key beneficiaries of structural growth trends in the industry, such as premiumization and EV transition, which are driving a steady rise in content per vehicle (CPV) for Uno Minda over the years.

Here are 4 reasons behind the bullish call

1.) Strong portfolio mix – Uno Minda has a well-diversified and fuel-agnostic product portfolio with exposure across all major automobile segments. In FY26, switches contributed 25% of revenue, followed by lighting at 22%, castings at 19%, seating at 7%, green mobility at 7% and other products at 19%. The “others” segment includes high-growth categories such as acoustics, sensors and advanced driver assistance systems (ADAS). Passenger vehicles accounted for 48% of the company’s revenue mix, while two-wheelers contributed 42%. The remaining revenue came from three-wheelers (3%), commercial vehicles (4%) and off-the-road (OTR) vehicles (3%).

2.) Premiumization boost – Analysts say the Indian automobile industry has witnessed a clear premiumisation trend across key vehicle segments over the years. In the passenger vehicle segment, the share of utility vehicles (UVs) has increased to 67% in FY26 from 21% in FY16. In motorcycles, the share of models with engine capacity of 125cc and above has risen to 55% in FY26 from around 36% in FY16.

Also read: Uno Minda to invest Rs 320 cr in new plant for four-wheeler PV seating systems

The brokerage noted that consumers are increasingly seeking feature-rich vehicles across segments, including entry-level cars. At the same time, stricter safety and emission regulations are driving higher content per vehicle (CPV).

Motilal Oswal also highlighted the growing adoption of electric vehicles across segments, supported by the government’s continued focus on promoting green mobility.
3.) Partnerships, R&D ability bodes well – The company has built a strong innovation ecosystem with 37 R&D centres, supported by global technology partnerships. The company has been granted 292 patents and has registered 577 designs, while its global R&D network remains aligned with international technological advancements and industry best practices.The brokerage believes this combination of strategic partnerships and in-house engineering capabilities is a key driver of Uno Minda’s ability to deliver structurally higher growth than the broader auto industry while creating capabilities that are difficult to replicate organically.

Motilal Oswal also noted that the management’s long-term goal of growing at 1.4x to 1.5x the underlying industry growth appears credible, backed by the company’s consistent track record of outperforming the industry over the years.

4.) FY27 to be transformational – Uno Minda expects FY27 to be a defining year for growth, with seven of its 11 new projects either becoming operational or entering the ramp-up phase during the year. This comes in addition to the commercialisation of two new plants in the fourth quarter of FY26.

The brokerage expects the company to deliver a compound annual growth rate (CAGR) of 19% in revenue, 20% in EBITDA and 23% in profit after tax (PAT) over FY26-28.

Motilal Oswal also expects Uno Minda to remain free cash flow (FCF) positive over FY26-28 despite higher capital expenditure. Consequently, it estimates the company’s net debt will decline to Rs 1,780 crore by FY28 from Rs 2,150 crore in FY26. The brokerage added that returns are likely to improve in FY28 as the newly created capacities are fully ramped up.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)

Shares of Cupid rebounded sharply on Thursday, climbing 5.5% to Rs 208 on the NSE after tumbling nearly 12% in the previous session. The recovery reflected renewed investor confidence, supported by the company’s strong business momentum and an upgraded growth outlook.The stock created excitement earlier in Wednesday’s session by touching a fresh 52-week high of Rs 226 per share on the NSE. However, profit booking emerged at higher levels, dragging the stock down by 11.94% to close at Rs 194.70.

Despite the recent volatility, Cupid shares have remained strong performers in the market. The stock has gained more than 40% in the last one month, while its three-month performance delivered a remarkable return of over 114%, placing it among notable multibagger performers.

Cupid recently reported one of the strongest quarterly performances in its history. In its Q1 FY27 business update, the company highlighted that it is on track to deliver quarterly revenue exceeding Rs 150 crore, marking a strong start to the financial year and reflecting continued business momentum.

Buoyed by strong execution, improving market visibility, and expanding opportunities across domestic and international markets, the company’s management revised its FY27 revenue outlook upward by at least 10%.

Cupid has raised its FY27 revenue guidance, now targeting revenue of Rs 660 crore+ compared with its earlier guidance of Rs 600 crore.

The revised outlook reflects increasing confidence in Cupid’s diversified business model, expanding global opportunity pipeline, and growing scale across healthcare, personal care, and wellness segments.
Commenting on the company’s performance, Aditya Kumar Halwasiya, Chairman and Managing Director of Cupid Limited, said the strong start to FY27 reflects the transformation the company achieved over the past few years.The company highlighted strong momentum in its international B2B business, supported by increasing opportunities in private markets, institutional procurement, and government tenders globally. Cupid also said its strategic relationship with PFSCM started on an encouraging note, strengthening its position in global healthcare procurement.

Over the past year, Cupid expanded its Male Condom and Female Condom businesses through enhanced manufacturing capabilities, customer acquisition initiatives, and wider market reach. The company’s lubricants portfolio also continued to gain traction across institutional and consumer segments.

On the consumer front, Cupid is focusing on building itself as a trusted personal care and wellness brand in India, with expansion plans across modern trade, organised retail, and pharmacy channels.

Strong order book supports long-term growth story
Cupid enters the rest of FY27 with one of the strongest order books and opportunity pipelines in its history, according to the company. With rising global demand, diversified business verticals, expanding manufacturing capabilities, and continued investments in healthcare, personal care, and wellness, the company believes it is entering a new phase of sustainable growth.

Also read: Dixon Tech, Syrma SGS, Amber shares surge up to 6%. What does customs duty relief mean?

Management expects multiple business segments to contribute meaningfully to revenue and profitability in the coming years, strengthening Cupid’s long-term growth prospects.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)

The shares of Aequs extended sharp gains for the third consecutive session on Thursday, rallying more than 18% during the gaining streak to hit a lifetime high today as bullish brokerage calls boosted investor sentiment for the smallcap aerospace player.

Aequs shares jumped 7% today, hitting a record high of Rs 274.39 apiece. The sharp gains added more than Rs 2,850 crore to the smallcap company’s market capitalisation, taking it to above Rs 18,402 crore.

IIFL Capital on Aequs share price

IIFL Capital initiated coverage of Aequs with a Buy rating and a target price of Rs 320 per share, implying nearly 25% upside from the stock’s previous closing price of Rs 256.14 on the NSE.

The brokerage noted that Aequs is India’s only vertically integrated precision manufacturer of aerospace components and is extending its high-mix, low-volume manufacturing playbook into high-volume, high-mix consumer electronics, targeting a steady-state RoCE of nearly 20% by FY31. “While near-term valuations appear demanding, they are justified by Aequs’ differentiated franchise, deep competitive moats, and long-duration growth runway,” IIFL Capital said.

It added that the business in which Aequs operates has high entry barriers, driven by massive capital investments, multi-year customer qualification cycles, deep process engineering expertise, and stringent quality and certification requirements. These capabilities take decades to build and are difficult to replicate.
With integrated machining-to-assembly capabilities in India and strategic hubs in the US and France, Aequs enjoys Tier-1 supplier status with Airbus and Boeing, along with long-standing relationships with Safran, Collins, Spirit, and Honeywell, the brokerage said.While Aequs primarily operates in the aerospace segment, it has expanded over the past decade into consumer businesses, including consumer electronics, toys, and cookware.

“Given the scale-driven economics, high fixed-cost structure, and capital intensity of the ATP portfolio, we believe a consolidated valuation better captures the platform’s long-term earnings potential,” IIFL Capital said.

Also read: Smallcap aerospace stock jumps after earning bullish brokerage calls

Nuvama on Aequs share price

Earlier this week, Nuvama initiated coverage on Aequs with a Buy rating and a target price of Rs 444, implying an upside of nearly 73% from the stock’s previous closing price. The brokerage said Aequs deserves a valuation premium over pharma CDMOs because, unlike molecules, aircraft programmes never expire.

It also noted that Aequs is India’s only vertically integrated aerospace SEZ, supplying machined aerostructures, landing gear, and engine parts to OEMs such as Airbus and Boeing. It is also India’s first genuine pure-play aerospace precision manufacturer—a moat built over time, not through capital alone, it added.

According to Nuvama, the company’s $889 million order book supports a 42% revenue CAGR and an 84% EBITDA CAGR over FY26-29. “Fifteen years of patient capital allocation has produced something genuinely scarce in Indian manufacturing: a NADCAP-certified, vertically integrated aerospace SEZ supplying machined aerostructures, landing gear and engine parts from a single campus in Belagavi to Airbus, Boeing, Safran, Collins and Bombardier. The $889 million contracted order book, with 7.4x revenue coverage, is not just a sales pipeline; these are firm purchase orders tied to OEM production schedules.”

“Each part is backed by a complete FAI and an 18-36-month requalification barrier, while the 5,654 SKUs further strengthen this moat with every new part added. The strategic pivot towards engine components, cemented by the Rs 19 billion Tamil Nadu MoU for India’s first integrated aero-engine ecosystem, puts Aequs on the map,” Nuvama said.

Also read: This smallcap aerospace stock could soar up to 91%, predicts Nuvama

Aequs share price

Aequs shares listed at Rs 140 apiece on the NSE in December last year, marking a premium of nearly 13% over their IPO price of Rs 124. The IPO, comprising a fresh issue of Rs 670 crore and an offer for sale worth Rs 251.81 crore, received an overwhelming response from investors. It was subscribed 122.93 times in the QIB category, 83.61 times in the non-institutional investor category, and 81.03 times in the retail segment.

After listing, the shares fell more than 19% to a record low of Rs 113.30 in March this year. The stock has since rallied about 142% in nearly four months to hit a fresh lifetime high.

Also read: Why is market rising today? Sensex jumps over 600 points, Nifty reclaims 24,000. 5 key factors behind today’s sharp D-Street rebound

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)