Capital Goods share price target

In the span of a few months, India has gone from digital potential to digital powerhouse - and data centers are the linchpin of that transformation. At the recent India AI Impact Summit, global tech majors including Microsoft, Google, and Amazon collectively pledged tens of billions of dollars toward AI infrastructure, while domestic giants like Reliance Industries and the Adani Group announced multi-billion-dollar plans to build AI-ready, renewable-powered data center campuses across the country. Complementing this investment momentum, the Union Budget 202627 introduced a landmark tax holiday for data center operators, extending exemption from Indian income tax until 2047 for eligible foreign cloud service providers using India-based data center infrastructure to serve global workloads - a move designed to anchor high-value compute capacity domestically and provide decades of investment certainty....

EPC companies, due to general elections held in Q1FY25, 2) recent geopolitical incidents leading to better performance out of defence companies, 3) strong domestic traction for product companies, and 4) strong YoY growth seen in the public capex for railways, defence, power, road transport and highways etc. in Q1FY26. The strong performance is anticipated despite cautious exports and tariff related uncertainties along with continued weakness in the consumable companies. Overall, we expect revenue/EBITDA growth of ~15.1%/15.5% YoY (~15.3%/14.9% YoY ex-L&T). Execution pace, domestic capex momentum and...

companies. The project companies saw better execution and increasing Defence companies outperformed on the back better execution amid push for defence indigenization. Cumulative order intake growth of 10.2% to ~Rs1.7trn...

companies, 2) consumable companies continue to suffer, and 3) margin expected to normalize against a higher base and cautious exports. Overall, we tariffs on some of the companies will be key monitorables. Our top picks are...

Q3FY25 Earnings Preview - Chemicals, Capital Goods and Midcaps

Our Top Picks: PI Industries Ltd; Mold-tek Packaging Ltd; Pitti Engineering Ltd, VA Tech Wabag Ltd, Gravita India Ltd.

BOBCAPS Unlocking Insights Conference (Capital Goods, Power, Durables) Key takeaways

We hosted 10 corporates at our Unlocking Insights' Conference spanning the capital goods, power and durables sectors

Q3 revenue for our capital goods coverage grew 18% YoY (+15% ex-LT) on strong execution; EBITDA margin slipped 40bps (20bps ex-LT)

For our capital goods coverage universe, we expect revenue growth momentum to continue in 4QFY23 for both EPC and product companies, led by robust order backlog, improving supply chain and hence overall pick-up in execution.