BUZZ-India's Sona BLW Forgings falls as analysts flag margin concerns

Jefferies Financial Group Inc.

Jefferies Financial Group Inc.

JEF

0.00

** Shares of India's Sona BLW Precision Forgings SONB.NS down 3.75% to 584.60 rupees

** Auto parts maker posted 17% y/y rise in Q4 profit, revenue up 45.5% Y/Y

** Analysts flag margin pressure

** Nomura ("buy"; TP: 720 rupees) cites near-term margin pressure from higher commodity, labour costs

** Jefferies ("buy"; TP: 700 rupees) says margins dipped due to higher commodity costs, weaker mix

** Elara Securities ("buy"; TP: 749 rupees) cites commodity inflation for persistent margin pressure

** However, EV segment remains in the spotlight; Elara Securities says strong revenue growth driven by EV, railway segments

** Nomura says EV demand to improve due to higher oil prices


($1 = 94.9100 Indian rupees)


This page is machine-translated. Sahm tries to improve but does not guarantee the accuracy and reliability of the translation, and will not be liable for any loss or damage caused by any inaccuracy or omission of the translation. *Disclaimer: The above content only represents the author's personal position and opinion and does not represent any position of Sahm Capital Financial Company and Sahm cannot confirm the authenticity, accuracy, and originality of the above content. Investors should consider the risks of investment products in light of their circumstances before making any investment decisions. When necessary, please consult a professional investment advisor. Sahm does not provide any investment advice, nor does it make any commitments and guarantees.