Shares of Motherson Sumi Wiring India surged 13% on the NSE during Monday's trading session following the release of its strong Q2 results for FY27. The stock opened at ₹38 per share, up from the previous close of ₹35.14, and reached an intraday high of ₹39.82. Trading volume also spiked, with around 1,422.68 lakh shares changing hands.
The company reported a 35% year-on-year increase in net profit to ₹223 crore for the second quarter, compared to ₹165 crore in the same period last year. Revenue from operations soared 47% YoY to ₹4,504 crore from ₹2,752 crore. The growth was driven by premiumisation, higher content per vehicle, and new business wins in both electric vehicle (EV) and internal combustion engine (ICE) models. The company also benefited from the ramp-up of greenfield projects and maintained financial discipline despite rising copper prices.
Vivek Chaand Sehgal, Chairman of Motherson Sumi Wiring India Ltd., highlighted the company's resilient performance, attributing it to sustained customer confidence and strong execution capabilities. He noted that growth was fueled by higher customer volumes, increased content per vehicle, and participation in new model launches across EV and ICE platforms. Sehgal also emphasized the company's focus on operational efficiencies and financial discipline amid higher commodity costs.
Brokerage firm Elara Securities upgraded the stock to ‘buy’ with a revised target price of ₹42, citing a 13% and 26% correction in the past six and twelve months, respectively. The firm expects an EBITDA CAGR of 16% during FY27-29E and finds current valuations favorable. Meanwhile, Ekay Global retained its ‘buy’ rating but cut the target price by 10% to ₹45 per share, adjusting for macroeconomic risks.