Sell

We attended JLR’s Annual Investor Day held online today, where management outlined its FY27 guidance, including: GBP26b in revenue, implying a 13% YoY growth, an EBIT margin of 4%, rising 400bp YoY, OCF break-even vs a GBP2.3b loss in FY26.

Cyient's FY26 annual report highlights strategic transformation, with a focus on three complementary growth vectors—DET (engineering services and tech-led transformation), DLM (engineering-led manufacturing), and the newly carvedout semicon business (IP-led, AI-driven silicon innovation).

GFL remains strategically well-positioned to capitalize on long-term growth opportunities in fluoropolymers and battery materials, supported by favorable trends in semiconductors, EVs, energy storage and advanced manufacturing.

Cyient has entered into a definitive agreement to acquire 100% stake in Tao Digital Solutions for an enterprise valuation of USD218mn (~9.5x CY27E EV/EBITDA, excluding management incentives and retention schemes).

Cummins India (KKC) delivered performance in Q4FY26 which surpassed our expectations. Revenue, EBITDA and PAT grew by 22%, 22% and 23% respectively on YoY basis. Demand continues to be healthy emanating from verticals such as Quick Commerce, Manufacturing, Real Estate and Data Centres for the PowerGen segment. KKC also clocked in steady gross margin of ~36% for the quarter. Although domestic demand looks steady, the outlook on exports remains uncertain especially amid the geopolitical tensions in the Middle East. The management also mentioned that they expect moderate growth in FY27...

Sales/EBITDA/APAT reported 4.8%/7.4%/-4.4% above our estimates. EBITDA Margin reported 36 bps above our estimates at 14.4%

The company may continue to see gradual improvement in volumes and operations over the coming quarters; however, sustaining the recent margin improvement could remain challenging as chemical spreads normalize from elevated levels.

Company has announced an additional accelerated capex of ~Rs20bn towards setting up a large power transformer facility in Vadodara, taking the cumulative announced capex to ~Rs40bn almost doubling transformer capacity Exports contributed ~25% to total ex-HVDC revenue, while...

GFCL EV targets 2x asset turn and 25% EBITDA margin FLUOROCHEM reported consolidated revenue from operations of Rs13.6bn in Q4FY26, up 11.8% YoY and 20.5% QoQ. The Fluoropolymers segment grew 19% YoY, driven by higher volumes and improved realizations across key products. Existing capacities are operating at optimal utilization levels, the company had announced a Rs2.5bn capex for expanding its new fluoropolymer portfolio. Near-term growth is expected to be supported by increasing applications in semiconductors, EVs/BESS, and clean energy sectors. The Fluorochemicals segment declined by 2% YoY but grew 63% QoQ, aided...

JUBLINGR reported consolidated revenue of Rs11.8bn in Q4FY26, broadly in line with our estimates. The Chemical Intermediates segment grew 10% QoQ and 15% YoY, driven by higher acetic acid prices following supply disruptions in the Middle East. Acetic Anhydride volumes increased YoY, while remaining stable sequentially. The Nutrition & Health Solutions segment reported growth of 15% QoQ and 21% YoY, supported by double digit QoQ and YoY volume growth, led by Niacinamide. In the Specialty Chemicals segment, revenue growth was driven by a recovery in volumes across business lines, with Fine Chemicals and Agro Chemicals leading the overall...

Profitability under pressure: Q4FY26 revenue grew 6% YoY, but EBITDA margin declined to 4.0% Execution visibility intact with Order book at Rs993bn (~4.9x revenue), valuation limits upside Rail Vikas Nigam (RVNL) reported a weak Q4FY26 performance, with modest revenue growth of 6% YoY offset by a sharp decline in profitability as EBITDA margin contracted to 4.0% (vs 6.0% YoY and 4.7% QoQ). As per RVNL, Margin pressure was driven by nonrecurring factors: an onerous contract provision, JV reconciliation adjustments. Management expects underlying profitability to improve in FY27E versus the reported...

We remain cautious on Ramco Cements due to mounting cost pressures and a challenging operating environment that could weigh on profitability over the near term. Management has guided for cement demand growth of 6–7% in FY27; however, demand in Q1FY27 remained muted due to state elections across Tamil Nadu, Kerala, and West Bengal.

Volume growth in lower single digits at ~4% YoY. Eastern exposure helps pricing recovery ~5% YoY (2% QoQ), supports revenue growth

Revenue & EBITDA declined by 2.4%YoY and 58.9%YoY respectively impacted by Gas-transmission volumes and LNG prices volatility

Volume growth resilient at 8.3% YoY, but a sharp 7.5% YoY decline in realisations led to flat revenue and margin contraction

Paperboard to expand margins due to benefits of MIP Agri exports to take a knock in 1Q/1H27 ITC reported in line numbers enabled by strong growth in FMCG and Paperboard even as Cigarette sustained profitability while Agri business suffered as west Asia war affected exports. We expect cigarette business to show severe pressure on volumes and profitability as full impact of sharp increase in excise and subsequent price hikes play out. We expect downtrading in Kings and RSFT which can deteriorate sales mix also. We expect gradual but delayed recovery, once a base is settled. We expect ITC to...

SAIL's Q4FY26 performance was above our expectations, driven by stronger NSR and improved operational efficiency. Revenue increased by 13% QoQ to Rs308bn, driven by a 3% QoQ increase in volumes and 9% rise in NSR to Rs57,898/t amid by elevated steel prices. EBITDA surged 92% QoQ to Rs44bn, with EBITDA/t improved 86% QoQ to Rs 8,279/t, led by higher NSR and lower employee cost, partly offset by elevated coking coal prices. Management has guided for FY27 sales of volumes of 22mn tonnes, including 0.6-0.7mn tonnes from RINL, along with capex of Rs150bn. SAIL also liquidated 0.9mn tonnes of...

Top-line falls by 11.7% YoY: Top line decreased 11.7% YoY to INR4,362mn (PLe YoY to INR1,625mn with margin of 37.2% (PLe of 38.4%). Adjusted EBITDA/PAT loss at INR292mn/INR764mn: EBITDA loss widened to INR822mn as against an EBITDA of INR65mn (1.3% margin) in 4QFY25. Adjusting for the one-time costs of INR230mn and inventory liquidation support expenses of INR300mn, EBITDA loss stood at INR292mn (PLe EBITDA loss INR445mn). After adjusting for...

We expect the company to grow its Revenue/EBITDA/PAT at a CAGR of 44% / 50% / 84% for the period of FY26-FY28. The company is currently trading at 18x FY28E and we value the company to trade at a PE of 17x FY28E EPS, implying a target price of INR 489 with the downside of 4%.

Carborundum Universal (CUMI) reported a mixed Q4FY26 performance with consolidated revenue growth of 15.4% YoY to driven by broad-based growth across Abrasives (+13.4% YoY), Ceramics (+18.6% YoY) and Electrominerals (+14.0% YoY) while EBITDA margins contracted by 171bps due to weakness Rhodius abrasives, Awuko abrasives and Foskor Zirconia. The Abrasives segment witnessed healthy...