Voltas share price rose in early trade today after HSBC retained buy call on the large cap stock with a target price of Rs 735. Share price of Voltas rose up to 3.13% to Rs 671.50 compared to the previous close of Rs 651.10 on BSE. Voltas stock has gained 25% in last one year against a 13% rise in Sensex.
The brokerage said room AC industry is likely to post double-digit growth in 2020. Margins are likely to rise for room AC segment with strong scale-up in projects business, HSBC added. India's largest AC manufacturer mostly has positive recommendations from brokerages for next one year.
22 of 37 brokerages rate the stock 'buy' or 'outperform', 10 ' hold', two 'underperform' and three 'sell', according to analysts' recommendations tracked by Reuters.
Chandan Taparia from Motilal Oswal Securities has given a buy call on Voltas with a target price of Rs 695. Tata Group's consumer durables good firm reported a consolidated net profit of Rs 107.28 crore in the second quarter ended September 30 compared with consolidated net profit of Rs 107 crore in the corresponding quarter of previuis fiscal. Revenue from operations also remained flat at Rs 1,421.94 crore in the second quarter against Rs 1,421.36 crore in the year-ago quarter.
Voltas is an air conditioning and engineering company is engaged in room air conditioners, contract revenue, commercial refrigeration products and sale of services. It has presence in India and the Middle East among others.