Multibagger stock to buy: Up 153% since April 9, GE Vernova gets fresh targets post Q2

GE Vernova T&D India reported a strong set of numbers in the September quarter, significantly exceeding consensus estimates. Revenue grew 39 per cent, Ebitda rose 94 per cent while profit more than doubled in Q2. Order inflows declined 66 per cent YoY, as the base quarter had some large export orders. The order backlog stayed at an all-time high, with revenue visibility of 2.6 times trailing 12-month revenue. 

Ebitda margin also came in strong at 25.8 per cent against 18.5 per cent YoY, was backed by gross margin expansion and operating leverage. 

GE Vernova T&D India's management has guided for mid-20 per cent Ebitda margin in FY26. Following the results, the multibagger stock received 'Buy' rating from analysts, with a few even revising upward their target prices.   

"We raise our FY26-28F Ebitda  margin estimates by 147-243bp to factor in the 2QFY26 beat and positive management commentary. Our FY26-28F earnings estimates are now 5-13 per cent higher. We roll forward our valuation and reaffirm our Buy rating with a target of Rs 3,700, valuing the stock at 60 times December 2027F EPS," Nomura said.

Antique Stock Broking said the pipeline looks equally promising from a near to medium-term perspective. Taking into account the robust business momentum & outlook, it raised its FY26, FY27 and FY28 estimates by 11 per cent, 7 per cent and 10 per cent, respectively. It maintained Buy rating on the stock with a revised target of Rs 3,596 against Rs 3,032 earlier, valuing it at a PE multiple of 60 times 1HFY28E EPS.

Emkay Global said: "A healthy mix in the strong order book, a sturdy tender pipeline—including two HVDCs: Khavda-South Olpad (VSC) and Barmer-II to South Kalamb (LCC)—and focus on margin improvement give us confidence on GVTD’s robust earnings growth trajectory. Higher export visibility further adds comfort to our positive view. Factoring in the strong Q2FY26 results, we raise earnings by 4 per cent each for FY27E/28E. We maintain BUY on the stock while raising our target by 15.5 per cent from Rs 2,900 to Rs 3,350 (55x Sep-27E)."

Nuvama has also retained its 'Buy', as it raised FY26E EPS by 8 per cent and rollover its estimates to March 2028, yielding a revised target of Rs 3,680 against Rs 3,450 earlier.

The multibagger stock is up 153 per cent since April 9.