By Trendlyne AnalysisThisconsumer electronics company rose 2.7% on September 4 after Emkayinitiated a ‘buy’ rating, expecting the stock price to double in the next three to four years. The brokerage set a target price of Rs 725 for the next 12 months, highlighting growth under new management in the underpenetrated water purifier and vacuum cleaner markets.
Since being acquired by Advent International in 2022, the company has shifted from a legacy appliances maker to a health and hygiene brand. Management has updated product designs, increased research and development spending, and shifted its focus from door-to-door sales to a retail and online presence.
Eureka Forbes holds about 40% of the Indian water purifier market. However, India’s overall purifier penetration is just 6%, a fraction of the levels in Korea (60%) and China (25%). CEO Pratik Potasaid the key is tackling affordability. “During Q1FY26, we scaled up our range of water purifiers with a two-year filter life. These new products lowered the lifetime cost of ownership, and we are confident that this will drive penetration,” he stated.
The early results are promising. InQ1FY26, revenue grew 10.7% YoY, led by a 52% surge in the robotics segment of its vacuum cleaner division. Potasaid, "In vacuum cleaners, our early bet on robotics is beginning to bear fruit, helping drive the division to strong double-digit growth." However, the growth came at a cost, as higher advertising spending pushed EBITDA marginsdown by ~50 bps to 11%.
But the road ahead isn't clear. Eureka Forbes faces a two-front war against traditional rivals like Kent and tech-challengers like Urban Company, which threaten its high-margin services business. This competitive pressure demands continued high ad spending, which could cap profit growth. And its booming robotics vacuum business is a luxury, making it vulnerable to pullbacks in consumer spending if the economy slows down.
This Kolkata-basedpower utility firm surged 4% last week after the RP-Sanjiv Goenka Groupunveiled its “Growth Vision 2030” plan at its investor day. The company is injecting Rs 32,000 into renewables, distribution, and solar manufacturing, aiming to double its profit by FY30.
As one of India’s oldest players in the space, CESC commands a presence across the entire energy value chain, from coal mining and generation to transmission and distribution. A key growth driver is its distribution (DISCOM) business, which contributes over 60% of its profits. Management expects distribution profits to double from Rs 840 crore inFY25 to Rs 1,600 crore by FY30, driven by demand growth in Noida, a turnaround in Malegaon, and the Chandigarh acquisition.
“Our ability to efficiently manage large networks is proven, with technical and commercial (AT&C) losses already in the single digits in Kolkata and Rajasthan,”said MD Sandeep Kumar. The bigger prize, however, is in Uttar Pradesh, where the state is preparing to privatise five large DISCOMs serving nearly 18 million customers. Losses in these networks exceed 30%, creating a huge efficiency gap. Kumar says, “This is exactly where our operating model can add value, by bringing down losses, improving collections, and ensuring reliable supply.”
On the renewables front, CESC is late but scaling fast. The initial phase of its plan targets 3.2 GW of renewable energy capacity by FY29, with more than a gigawatt already under construction. By FY32, the company aims to hit 10 GW of RE capacity.
To ensure these plans materialise, the company has already secured transmission infrastructure for 3.8 GW and has applied for an additional 4 GW, providing clear visibility for execution.
Diversifying its portfolio even further, CESC is venturing into solar manufacturing, with plans to establish 3 GW of cell and module capacity by FY28. This strategic move not only broadens its earnings base but also vertically integrates the renewable business, providing more control over its supply chain and costs. Reflecting this growth trajectory, ICICI Securities anticipates the company's EBITDA margin will expand by 200 basis points to over 23% by FY27 andmaintains a “Buy” rating on the stock.
This auto parts & equipment company jumped over 3% on September 10 after it announced the full acquisition of two of its Turkish subsidiaries. The company took complete control by purchasing the remaining 25% stake in these firms, solidifying its ownership after an initial investment in 2021.
This move is part of the company’s broader strategy. At its recent annual investor day, it outlined an ambitious five-year growth plan, targeting $108 billion in revenue and a 40% return on capital employed (RoCE) by 2030. A key part of the plan is to expand its customer base beyond traditional European and Indian partners to win more business from major American, Chinese, Japanese, and Korean carmakers.
However, the road hasn’t been without bumps. The company’s Q1FY26 profit dropped nearly 49% YoY, impacted by challenges in developed markets, including shifting trade policies and lower sales volumes in Europe and North America. Still, overall revenue rose 4.7%, driven by its automotive vision systems division, although it missed Forecaster estimates by 0.3%. The stock features in a screener of companies that have outperformed the industry over the past week.
Addressing investor concerns about US tariffs, SAMIL’s Director Laksh Vaaman Sehgal said the direct impact is minimal, as exports to the US are limited. He added, “We’re setting up new factories from scratch to tap growth in emerging markets and non-auto segments, with an expected boost to profits later this year.” The company plans to invest Rs 6,000 crore in new facilities and equipment this fiscal year.
Looking ahead, ICICI Securities is optimistic about the company’s plans, which aims to quadruple revenue and become one of the top global suppliers by replicating past success in new areas like aerospace and electronics. Calling SAMIL a top pick in its segment, the brokerage maintains a ‘Buy’ rating with a target price of Rs 115.
This engine manufacturer hit a new 52-week high on September 10 after Nomura raised its target price to Rs 4,500. The brokerage cited strong demand, cost-cutting measures, and new product plans as reasons for the optimistic outlook. They highlighted the company's expansion into battery energy storage systems (BESS) as a significant area for growth, expecting it to enhance their product offerings.
Nomura noted that Cummins is initially focusing on battery storage solutions for factories and industrial clients, rather than large-scale systems for power plants. The company will depend mainly on China for its supply chain due to a lack of local suppliers. However, Cummins plans to stand out by adding unique features to its products.
The brokerage added that recent GST cuts could stimulate demand for power generation, as increased consumption may encourage private investment. Growth in sectors such as real estate, hospitals, data centres, and quick commerce is anticipated to fuel demand. They project the company’s net profit to grow at an 18% CAGR over FY26-28, with a return on equity of 33%.
In Q1FY26, Cummins’ revenue and net profit surpassed Forecaster estimates by 12% and 27%, respectively. The power generation segment was a primary driver of this performance, with a 31% YoY growth as demand picked up after the implementation of new emission standards. Export revenue saw a 34% increase, led by sales in Latin America and Europe, which were bolstered by products with lower emissions. Analysts see further potential in the US market, especially on large engines like the QSK38 and QSK50, which are used in markets that have stricter emission regulations.
MD Shveta Arya said, “We expect double-digit growth in FY26, led by domestic demand, while we remain cautiously optimistic about exports. We have introduced battery storage systems for commercial and industrial customers. To be clear, this won’t eat into sales of our existing products but will act as an add-on, especially for customers using solar power.” However, they added that rising competition and tariff-related challenges remain a concern.
The share price of this telecom services provider surged 9% over the past week, buoyed by recent order wins. On September 8, RailTel Corp secured contracts exceeding Rs 714 crore from the Bihar Education Project Council for digital classrooms and labs. Execution is slated between December 2025 and March 2026.
In August, the company secured new orders totalling over Rs 220 crore. These included a work order from BSNL and a contract from the Kerala State Information Technology Mission for the operation and maintenance of the state’s data centre project. RailTel also received an order from the Airports Authority of India for telecom services. These additions bring the overall order book to over Rs 7,200 crore.
RailTel Corp primarily builds and operates telecom infrastructure, utilising its vast optical fibre network along railway tracks to support Indian Railways and deliver broadband and data services nationwide. In Q1FY26, the company’s revenue climbed 33.3% YoY to Rs 744 crore, driven by an improved projects business. Its telecom business grew, albeit more slowly, amid heightened competition in rail wire and other services. Meanwhile, net profit grew by 36% during the quarter.
Looking ahead, the company anticipates steady growth in its telecom business while its project segment continues its expansion. Management projects the telecom business to grow at an annual rate of 8-9%. CMD Sanjai Kumar highlighted a shift in the company's revenue mix, stating, “Last year, around 65% of our revenue came from projects, and about 35% from telecom. That mix is certainly going to favour the project business in future years.”
ICICI Securities maintained its ‘Sell’ rating with a lower target price of Rs 255, citing weakness in the company's telecom services business due to intense competition.
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