Welspun Living shares soared to a 52-week high after strong first-quarter earnings, with brokerages maintaining bullish targets amid ongoing expansion in key markets and operational efficiencies.
Welspun Living shares climbed to a fresh 52-week high on Thursday after the home textiles maker posted a strong first-quarter performance and several brokerages kept their bullish stance on the stock. The shares later gave up some gains but still finished 2.65% higher at ₹164.06 on the National Stock Exchange after touching ₹178 during the session, above the previous close of ₹159.83.
The company’s consolidated total income rose 23.5% from a year earlier to ₹2,828 crore in the June quarter. EBITDA came in at ₹354 crore and the margin improved for a third straight quarter to 12.5%, up 140 basis points year on year and 170 basis points sequentially. Profit after tax increased 1.8 times to ₹161 crore, underscoring a stronger operating run even as some broker reports noted tariff pressure and broader trade uncertainty.
According to Motilal Oswal, Welspun’s core home textiles business should continue improving, with the brokerage projecting a 15% compound annual growth rate over FY26-FY28. It expects the emerging businesses to expand by 17% over the next couple of years and raised its earnings estimates, keeping a buy rating with a target price of ₹215. The firm said the main risks remain customer and geographic concentration and swings in raw-material prices.
JM Financial said capacity use across segments should stay above 80% in FY27, helping operating leverage. It highlighted the US pillow business, which it expects to double revenue to around US$60 million, and noted that the Nevada facility has been fully operational since June 2026 while the Ohio unit is running above 80% capacity. The brokerage also sees double-digit growth in the UK business, helped by the India-UK free trade agreement and existing customer ties, and kept a buy rating with a ₹205 target. Axis Securities also stayed constructive, lifting its target to ₹195 from ₹180 and saying Welspun is targeting double-digit revenue growth, low-teens EBITDA margins and medium-term margins above 15%, supported by ₹400-500 crore of FY27 capex and a ₹121 crore automation project in Anjar.
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