Motherson Sumi Wiring India share price rallies 13% on strong Q2 results | Check target, upside

According to data available on NSE, around 1,422.68 lakh shares changed hands during the intraday session on Monday.Motherson Sumi Wiring India Q2 results 2026The auto ancillary company reported a 35% year-on-year (YoY) increase in net profit to ₹223 crore in the second quarter of FY27, compared with ₹165 crore in the corresponding quarter of the previous financial year.Revenue from operations surged 47% YoY to ₹4,504 crore from ₹2,752 crore in the year-ago period, the company said in a regulatory filing.The company attributed its growth to premiumisation, supported by higher content per vehicle and new business wins across electric vehicle (EV) and internal combustion engine (ICE) models.

Timely expansion and the ramp-up of greenfield projects also helped boost customer volumes. The company maintained a resilient performance despite elevated copper prices and other cost inflationary pressures, while continuing to focus on disciplined working capital management.Vivek Chaand Sehgal, Chairman of Motherson Sumi Wiring India Ltd., said the company's resilient performance reflected sustained customer confidence and strong execution capabilities.

He noted that growth was driven by higher customer volumes, increased content per vehicle and participation in new model launches across both EV and ICE platforms.Sehgal added that the company's teams remained focused on enhancing operational efficiencies and maintaining financial discipline while navigating higher commodity costs. He expressed gratitude to customers for their continued support and employees for their commitment, reiterating the company's focus on delivering sustainable, long-term value to all stakeholders.On a sequential basis, profit after tax (PAT) increased 54% to ₹223 crore from ₹145 crore in the first quarter of FY27, while revenue from operations rose 19%.

Earnings before interest, tax, depreciation and amortisation (EBITDA) climbed 45% to ₹374 crore from ₹258 crore in the preceding quarter.Motherson Sumi Wiring share price outlookBrokerage firm Elara Securities has upgraded the auto stock to ‘buy’ with a revised target price of ₹42, saying that the stock has corrected 13% and 26% in the past six months and 12 months, respectively, underperforming the Nifty Auto, which corrected 1% & 4% and the Nifty50 at 4% & 10%, respectively.“While we remain concerned on MSUMI being a single product, single geography company and long-term overhang on multiples, owing to the start of adoption of zonal architecture globally (please refer note to Auto Tech insights: Era of Zonal architecture in advanced SDVs released on 3 December 2025); we draw comfort from MSUMI benefitting from higher content in BEV and rising BEV penetration in the next 1-2 years & bottoming of margin.

We expect an EBITDA CAGR of 16% during FY27-29E; we believe current valuations of 20x FY29E P/E are favorable. We tweak our FY28E-29E by 4-6%; we raise our TP to INR 42 from INR 39 on 25x (unchanged) December 2028E P/E, as we roll forward by a quarter. We upgrade to Accumulate from Reduce,” the firm said.Meanwhile, brokerage firm Ekay Global has retained its ‘buy’ rating on the auto stock, while cutting the target price by 10% to ₹45 per share.

“We lower our target multiple to 25x (30x earlier), as the high-growth phase (following GST cuts) is behind and macroeconomic risks (fuel prices, interest rates, etc) increase. We retain BUY while cutting TP by 10% to Rs45 from Rs50, based on 25x Sep-28E PER (rolled forward),” it said.