Voltas share price: Shares of Voltas Ltd fell as much as 3.7 percent in intraday trade on Monday. Brokerages flagged concerns over weak margins and earnings quality following the company's Q2 FY27 results, despite strong growth in its air conditioning business.
Voltas stock recovered some losses to trade 1.2 percent lower at Rs 1,044 in late morning deals. Goldman Sachs maintained a Sell rating with a target price of Rs 1,025, implying a downside of around 3 percent from Friday's close. Nomura retained a Neutral rating with a target of Rs 1,199, indicating a potential upside of 13 percent, but warned that intensifying competition could delay margin recovery.
Goldman Sachs said Voltas' Q2 revenue was broadly in line with its estimates, but earnings missed expectations and EBITDA quality remained weak. The brokerage added that the Unitary Cooling Products (UCP) business delivered strong volume-led growth, supported by market share gains in room air conditioners and Voltbek home appliances. However, the recovery in UCP margins was weaker than expected.
Share Markets Live Updates | Sensex, Nifty, GIFT Nifty Today
Margins in the Electro-Mechanical Projects and Services (EMPS) segment benefited from a one-off write-back, while the Engineering Products and Services business continued to perform strongly.