Capital Goods - Electrical Equipment · GVTD
Electrical Equipments/HVDC
from 4,299 today
GVTD's Q1FY27 performance was ahead of consensus, driven by strong execution growth (+38% YoY). However, EBITDA margin contracted 400bp YoY due to gross margin compression, while weak order inflows (-30% YoY) remained the key negative.
GE Vernova T&D's 1QFY27 revenue, EBITDA and PAT were ahead of estimates, though order inflows remained weak. We maintain BUY on GVTD with a revised TP of INR5,100, based on an average of DCF and 58x P/E Dec'28 EPS.
We retain our FY27/28 estimates and roll over our valuation to Sept'29E EPS, maintaining a BUY rating with a revised target price of INR 5,243 based on 63x 1HFY29E EPS, driven by a strong business outlook and management's confidence in mid-20s EBITDA margin guidance.
GE Vernova T&D's 1QFY27 results beat estimates across revenue, EBITDA, and PAT, though order inflows were weak due to delays in export orders. We maintain our BUY rating with a revised target price of INR5,100, supported by a strong transmission project pipeline and expected recovery in ordering.
Ratings and target prices as published by each firm. Each summary condenses that firm's stated view in its own note and is attributed to it; no report text is reproduced.
