India's Motherson Sumi gains on strong earnings as brokerages stay bullish

Motherson Sumi Wiring India

Mon 05:47

** Motherson Sumi Wiring India MSWI.NS shares rise 11.3% to 39.12 rupees  
** Sept-qtr profit rises 35% YoY; Total revenue from operations up 46.7%
** Centrum Broking ("Buy", TP: 50 rupees) growth will be driven not only by a higher share of business from existing customers, but also by premiums in the ICE segment and rising demand for high-voltage precision wires from EV makers
** Emkay Global ("Buy", TP: 45 rupees) says ongoing cost  control initiatives and localization of imported components should further support margin improvement
** ICICI Securities ("Buy", TP: 52 rupees) says new capacity addition, in line with customer order wins, is expected to boost revenues 
** Stock trades at forward 12 months PE of 27.59 vs industry median of 22.15 - LSEG compiled data
** 10 of 12 brokerages rate the stock "buy" or higher; their median PT is 50 rupees
** YTD, stock down 19.8%

 (Reporting by Abhinav Parmar in Bengaluru)
 ((Abhinav.Parmar@thomsonreuters.com;))