1. Transformers & Rectifiers (India):

This transformer manufacturer rose 14.9% on October 14 after reporting strong Q2FY27 results. Revenue jumped 60.7% YoY, while net profit more than doubled. EBITDA margin expanded 621 basis points to 17.4%, as the Moraiya plant in Gujarat accelerated order deliveries and boosted capacity utilisation.

The company’s order book reached Rs 7,237 crore, a 32% jump that equals nearly three times its FY26 revenue. Management plans to clear this backlog within 18 to 24 months. TARIL also has an inquiry pipeline of about Rs 21,000 crore, although historically only 10–15% of inquiries convert into orders.

To tackle this massive backlog, TARIL is expanding its Changodar facility. The project will lift plant capacity to roughly 35,000 megavolt-amperes (MVA) and push total company capacity past 75,000 MVA. While management targets $1 billion (~Rs 9,500 crore) in annual revenue by FY30, InCred estimates current capacity can support only Rs 6,000–6,500 crore in revenue. This suggests the company must build more capacity or enter new business lines to hit its goal.

TARIL is also breaking into the nuclear power sector. In Q2, the company secured orders to build generator transformers for NPCIL’s Kaiga Units 5 and 6. This milestone unlocks substantial long-term potential as India works to scale its nuclear capacity from 8.8 GW to 100 GW by 2047.

Raw-material shortages remain a challenge, forcing TARIL to hold higher inventories and tying up cash. To reduce dependence on suppliers, the company is bringing copper conductors, bushings and transformer tanks in-house. “We are looking at around 100-300 bps margin expansion through this backward integration,” said CFO Mehul Shah.

ICICI Direct upgrades TARIL to ‘Buy’ from ‘Reduce’, with a target price of Rs 430, implying 30.4% upside. It expects revenue and net profit to grow at 26% CAGR over FY27–28. The brokerage also anticipates improved cash generation as working-capital pressures ease, with operating cash flow rising from Rs 17 crore currently to Rs 310 crore by FY28.

2. Suzlon Energy:

This heavy electrical equipment company rose over 5% on Monday after announcing plans to invest Rs 550 crore in three wind turbine blade factories. Suzlon Energy will build them in Gujarat, Karnataka and Tamil Nadu and co-founder Girish Tanti expects them to be ready by 2027.

The investment supports Suzlon's move to larger turbines. Its new S175 turbine has a capacity of 5 MW, roughly 67% higher than its existing 3 MW model. The company has already secured its first order, with deliveries expected to begin in late 2026.

Suzlon can currently manufacture 4,500 MW of turbines annually. It aims to sell 7,500 MW a year by FY31, helped by larger models and new factories.

The company will fund the expansion using its own money. It ended Q1FY27 with net cash of Rs 2,322 crore. The new factories will also be closer to wind farms, cutting the cost of transporting large blades.

India added more wind power capacity in FY26 than ever before, and the government expects another record this year. Solar power generation stops after sunset, making wind an important source of renewable power during peak evening demand. In June, wholesale electricity prices were nearly five times as high in the evening as during the day, increasing the appeal of wind power.

The company has around 5,900 MW of orders in hand, which Motilal Oswal expects will support deliveries through December 2027. The brokerage also expects Suzlon's turbine deliveries to rise 75% in H2FY27 compared with H1, supporting stronger earnings. 

Replacing ageing wind turbines with more powerful models offers another source of orders. Group CEO Ajay Kapur said, “Repowering has a potential of close to 25 gigawatts in the country.” The company expects to secure its first confirmed orders for replacing older turbines by FY27-end.

However, fulfilling orders remains a challenge. West Asia tensions disrupted transport and delayed 10-20% of Suzlon's planned turbine deliveries in Q1FY27. Revenue rose 23% YoY. But net profit fell 6%, while EBITDA margin contracted 360 basis points as costs rose. Nuvama has also warned that project delays are tying up cash, while competition from solar power paired with batteries could slow wind demand.

Motilal Oswal sees Suzlon’s shares as attractively priced. The brokerage reiterated its ‘Buy’ rating on the stock with a target price of Rs 65, implying an upside of 55%. It expects the company’s EBITDA to grow 22% annually through FY28. 

3. Avenue Supermarts (DMart):

This department store company fell 7% over the past week after reporting its Q2FY27 results, as investors weighed stronger sales growth against weaker profitability. Revenue grew 18.4% YoY, in line with Forecaster estimates. Net profit rose just 7.6% and missed estimates by 13%, as the EBITDA margin contracted 30 basis points due to weaker gross margins and higher operating costs.

DMart added 15 stores during the quarter, taking its network to 518. Managing Director and CEO Anshul Asawa has indicated that growth at mature stores may not accelerate significantly, making expansion an important driver of future sales. Asawa said older stores already have high footfall and throughput, while new outlets help serve more customers and ease pressure on crowded locations. The company aims to expand its store base by around 15% annually.

Higher operating costs and an unfavourable product mix continue to squeeze margins. Food sales grew around 19%, while general merchandise and apparel grew about 18%. However, food accounted for a larger share of sales, while the contribution from the higher-margin general merchandise and apparel category declined. Employee costs and other expenses grew faster than revenue, with entry-level wage inflation adding to the costs.

Quick-commerce platforms pose another challenge, particularly in dense urban markets where discounting and customer-acquisition spending remain intense. DMart’s everyday-low-price model remains its key competitive advantage, but the company must preserve that proposition while improving store productivity and cash generation. Its online business, DMart Ready, is focusing on operational efficiency and customer experience after scaling back its presence to 11 cities from 25 in FY25.

Motilal Oswal retained a ‘Neutral’ rating with a target price of Rs 3,925, implying around 17% upside, but cut its profit estimates after the results. The brokerage still expects revenue, EBITDA and net profit to compound at 16-17% over the next few years, supported by store expansion and steady growth at existing outlets. Prabhudas Lilladher took a more cautious view, downgrading the stock to ‘Reduce’ and warning that quick commerce could cap growth and margins.

4. Max Healthcare Institute:

The stock of this healthcare facilities company has declined by 3.1% over the past week following reports that the government plans to extend a 30% price cap to non-scheduled cancer drugs. The proposed regulatory move aims to curb steep trade markups and make critical oncology treatments more affordable for patients.

Analysts at Jefferies point out that while near-term margins may take a temporary hit, the overall impact on EBITDA should remain manageable. Max Healthcare operates in a tightly regulated sector that has faced frequent policy changes over the years, including previous price caps on stents and knee implants that adversely affected profitability.

Despite policy uncertainties, Trendlyne Forecaster projects Q2FY27 revenue to jump 27%, driven by Max’s strong brand equity and well-established hospital network. CareEdge Ratings notes that several key facilities, including Mohali, Dwarka, Vaishali, Bathinda, and Dehradun, have high exposure to Central Government Health Scheme (CGHS) patients, supported by large populations of retired government employees in those areas.

Max Healthcare ended Q1FY27 with 5,379 operational beds, adding 630 beds (up 13%) over the past year. Expanding further, it plans to add 150 brownfield beds across Mumbai and Lucknow in FY27, alongside a 500-bed greenfield hospital in Gurugram by late FY27. Looking to FY28, the company plans to add 100 beds in Nagpur and a 400-bed greenfield facility in Zirakpur, Mohali.

CareEdge Ratings expects robust revenue growth through FY27 to FY29, anchored by steady capacity expansion, strong occupancy, and rising average revenue per occupied bed (ARPOB) from a higher-margin surgical case mix. As newly added beds ramp up operations, the rating agency projects significant gains in overall operational efficiency, driving sustainable long-term profitability.

5. Tata Elxsi:

This IT consulting & software stock surged 26.5% last week as Q2FY27 revenue grew 2.6% QoQ, beating Forecaster estimates on steady demand across key verticals. Net profit remained flat as lower other income and employee wage hikes offset revenue growth.

Segment performance delivered broad-based growth. Strong project execution and new AI contracts fueled the media (33.6% of topline) and healthcare (9.3% of topline) divisions. In the critical transportation segment (55.3% of topline), new deal wins in the US and India offset weakness in Europe, where cautious automakers delayed spending. Meanwhile, the aerospace and defence business is scaling up well, even though it currently contributes just 1.8% to total revenue. Tata Elxsi’s EBITDA margin expanded 70 bps to 21.9%, thanks to delivery execution despite the impact of the wage hikes.

Backed by multi-year contracts, management remains cautiously optimistic. MD & CEO Manoj Raghavan said, “We expect EBITDA margin to expand gradually to its peak of 22.3% in Q4FY27 over the next few quarters as operational efficiencies fully kick in.” He added that the company remains focused on sustaining growth in the second half of the year while investing in its AI-first offerings.

Management pointed out that with European auto demand still sluggish, near-term growth relies heavily on executing existing projects rather than a growth in discretionary client spending. To reduce its reliance on traditional automotive cycles, the company is actively expanding into aerospace, defence, battery energy storage, and off-highway vehicles.

Following the results, brokerages offered mixed outlooks. Deven Choksey retained an ‘Accumulate’ rating with a Rs 3,760 target price. The brokerage believes new AI deals and diversification will improve long-term revenue visibility. Meanwhile, Motilal Oswal kept a ‘Sell’ rating with a Rs 2,970 target price. Analysts at Motilal expect weak European auto demand to constrain near-term growth and warn that margins are recovering much slower than initially expected. Both target prices currently imply a downside due to the stock's massive post-earnings rally over the past week.

Trendlyne's analysts identify stocks that are seeing interesting price movements, analyst calls, or new developments. These are not buy recommendations.