Motilal Oswal rates Bharat Forge neutral at ₹1,800 citing valuations
Motilal Oswal has given Bharat Forge a neutral rating and set the target price at ₹1,800.
Basically, they think at current valuations of 58x FY27E and 39x FY28E earnings, most positives seem to be factored in.
In Q2 FY27, Bharat Forge earned ₹3.8 billion in profit, right on target, but rising costs for things like energy and materials put some pressure on those numbers.
Bharat Forge profit down 7%
The company's overall profit dropped 7% compared to last year, mainly because its US subsidiaries took a hit and margins were tighter at home.
Still, analysts expect solid growth ahead: revenue could rise by 16% per year and profits by 36% through FY28.
But with the stock already trading at high valuation multiples (58x FY27E earnings), most of that optimism seems baked into today's price.