Bharat Forge shares: UBS turns cautious but raises price target
According to the brokerage, the management has indicated that the third quarter is expected to remain subdued, with recovery likely from the fourth quarter.
- Nov 17, 2025,
- Updated Nov 17, 2025 2:20 PM IST
Global brokerage UBS has reiterated its sell call on the Bharat Forge stock. The stock had gained over 12% in the past month but according to brokerage, the stock can reverse all of those gains. However, UBS has raised its price target to Rs 1,230 per share, a fall of 11.9% from the current price. This comes on the back of the management commentary after Bharat Forge's second quarter results.
According to the brokerage, the management has indicated that the third quarter is expected to remain subdued, with recovery likely from the fourth quarter.
UBS has noted the company's near-term caution, yet pointed to a potentially stronger outlook from the fourth quarter, with future growth driven by the defence and aerospace segments.
The company's second quarter results reflected continued weakness in the auto segment, though the defence segment remained robust with healthy margins supported by stringent cost control.
Addressing sectoral growth, Bharat Forge disclosed that its aerospace business is projected to expand by 40% in financial year 2026, and similar growth is expected over the next three to four years.
The company also reported that exports to North America are under pressure due to challenging demand conditions, which are anticipated to persist through the second half of FY26.
Company's chairman and managing director Baba Kalyani reiterated the strategic focus on the home market, stating, "Our overall strategy is to pivot our business to the India-centric business, because we believe that India is going to be the largest growing market for the next 15–20 years." Restructuring of the company's EU steel business is under review, with updates anticipated by the end of the current fiscal.
Meanwhile, Bharat Forge shares traded on a flat note at Rs 1385 in the afternoon session today. The day's high and low were Rs 1,410 and Rs 1,382, respectively. Among Bharat Forge's major competitors in the sector are Ramkrishna Forgings and MM Forgings.
Global brokerage UBS has reiterated its sell call on the Bharat Forge stock. The stock had gained over 12% in the past month but according to brokerage, the stock can reverse all of those gains. However, UBS has raised its price target to Rs 1,230 per share, a fall of 11.9% from the current price. This comes on the back of the management commentary after Bharat Forge's second quarter results.
According to the brokerage, the management has indicated that the third quarter is expected to remain subdued, with recovery likely from the fourth quarter.
UBS has noted the company's near-term caution, yet pointed to a potentially stronger outlook from the fourth quarter, with future growth driven by the defence and aerospace segments.
The company's second quarter results reflected continued weakness in the auto segment, though the defence segment remained robust with healthy margins supported by stringent cost control.
Addressing sectoral growth, Bharat Forge disclosed that its aerospace business is projected to expand by 40% in financial year 2026, and similar growth is expected over the next three to four years.
The company also reported that exports to North America are under pressure due to challenging demand conditions, which are anticipated to persist through the second half of FY26.
Company's chairman and managing director Baba Kalyani reiterated the strategic focus on the home market, stating, "Our overall strategy is to pivot our business to the India-centric business, because we believe that India is going to be the largest growing market for the next 15–20 years." Restructuring of the company's EU steel business is under review, with updates anticipated by the end of the current fiscal.
Meanwhile, Bharat Forge shares traded on a flat note at Rs 1385 in the afternoon session today. The day's high and low were Rs 1,410 and Rs 1,382, respectively. Among Bharat Forge's major competitors in the sector are Ramkrishna Forgings and MM Forgings.