16x rally in 5 yrs! multibagger defence stock down 30% from peak; analysts see 45% upside

MTAR Tech shares target price: Domestic brokerage firms continue to remain positive on multibagger defence and space stock, MTAR Technologies Ltd, which has delivered bumper returns to investors. The company reported a strong set of performance in the June 2026 quarter and despite the recent fall, it is still 950 per cent above its IPO price.

MTAR Technologies Q1 results
MTAR Technologies reported a manifold jump in its net profit at Rs 50.23 crore in the June 2026 quarter, rising 365 per cent on a year-on-year (YoY) basis. Its total revenue soared 130 per cent YoY to Rs 360.72 crore for the reported quarter. Ebitda came in at Rs 85.04 per cent, more than tripling for the quarter, with margins improving 548 basis points to 23.58 per cent for the quarter.

MTAR Tech secured a major civil nuclear order worth Rs 504 crore alongside an expansion in a key international customer contract, pushing total cumulative order value past Rs 3,100 crore. The company management raised its fiscal outlook, projecting robust revenue growth visibility of around 80 per cent for FY27.

MTAR Technologies share price
Shares of MTAR Technologies were locked in the upper circuit limit of 5 per cent to Rs 6,000.05 on Monday, commanding a total market capitalization close to Rs 18,500 crore. To recall, the stock had plunged 35 per cent from its 52-week high at Rs 8,714.95 as of previous close at Rs 5,714.35.

Listed in March 2021, shares of MTAR Technologies soared more than 15 times from its issue price of Rs 575 to hit its 52-week high. The stock has soared more than 525 per cent from its 52-week low at Rs 1,391, hit in August 2025. Despite the recent correction, the stock is up 150 per cent in 2026 so far.

MTAR Technologies target price
MTAR's order book stood at Rs 5,960 crore, providing multi-year visibility across its three core verticals- Civil Nuclear, Clean Energy and Aerospace & Defence. The management remains confident of 80 per cent YoY and EBITDA margin of 24 per cent in FY27E, driven by conversion of articles to volume production, the ramp-up of nuclear execution, said Arihant Capital Markets.

"MTAR is strategically expanding data center infrastructure, developing new products for global defence companies, and deepening wallet share with existing customers. We anticipate revenue, EBITDA and PAT growth of 56.3 per cent, 71.4 per cent and 82 per cent CAGR, respectively, over the period of FY26-29E. ROE/ROCE may improve to 29.3 per cent/33.4 per cent by FY29E, respectively," it added.

The surging global demand for fuel cells, with expansion, and key customers’ 5GW growth plans remain major growth drivers. The working capital days substantially improved to 59 days, below 100 days target, and net debt of Rs 20-30 crore shows a healthy balance sheet. The capex of Rs 5 crore over FY27-28E targets 4-5 times asset, Arihant Capital said with a 'buy' and target price of Rs 8,294.

MTAR Technologies has a strong order book, driven by a healthy pipeline across the clean energy, A&D, nuclear sectors, and products & others. Commercialization of new products and onboarding of new clients across all segments will drive further growth. We anticipate these initiatives to translate into strong growth and margin expansion, led by operating leverage, said Motilal Oswal Financial Services.

Working capital concerns have been addressed with better payment terms and capital advances, leading to strong operating cash flow. Management indicated that ongoing measures will help to sustain NWC at 100 days in FY27. We estimate a CAGR of 78 per cent, 98 per cent and 118 per cent in revenue, EBITDA and PAT over FY26- FY28," it added with a 'buy' and a target price of Rs 7,550.