GE Vernova T&D India shares rally 8% as brokerages turn bullish on margin outlook and street cheers commentary

GE Vernova T&D India shares remained in focus and surged nearly 8% to hit an intraday high of Rs 4,799 after the company reported a sharp improvement in its March quarter earnings, while brokerage firm Motilal Oswal reiterated its bullish stance and raised its target price following the results.

Motilal Oswal maintained its ‘buy’ rating on the stock and increased the target price to ₹5,200 from ₹4,750 earlier. The brokerage said revenue came broadly in line with estimates, while profitability beat expectations amid strong margin performance.

GE Vernova T&D India reported an 88.7% year-on-year jump in Q4FY26 net profit to ₹352 crore compared to ₹186 crore in the same quarter last year. Revenue rose 42% YoY to ₹1,637 crore, while EBITDA surged 76.5% to ₹445 crore. EBITDA margin expanded sharply to 27.2% from 21.9% a year ago. The board also recommended a final dividend of ₹10 per share.

The company’s order book remained robust at ₹21,457 crore, with central utilities and PSUs contributing nearly 76% of the total orders in hand, followed by private sector orders at 22%.

Management commentary during the earnings interaction also drew investor attention. The company said the first two years of HVDC projects would largely involve engineering and supply-chain setup activities, with meaningful execution expected to ramp up from FY29 onwards. Analysts noted that the company’s current record earnings have come even before full HVDC revenue contribution begins.

Management attributed the strong Q4 margin performance to disciplined bidding, a better export mix, high-value services and the roll-off of legacy low-margin projects. The company also guided for “mid-20s” EBITDA margins to remain sustainable going ahead.

Motilal Oswal highlighted that domestic transmission opportunities remain healthy, while export demand continues to stay strong, supported by rising HVDC investments and growing data-centre demand globally. The brokerage also flagged the execution timeline of the recent HVDC win as a key monitorable.

The brokerage further said capex plans are aimed at catering to both domestic and export demand, and raised its FY27 and FY28 estimates by around 7-8%. It expects revenue, EBITDA and profit CAGR of nearly 29%, 31% and 31%, respectively, over FY26-28.

Market participants are increasingly viewing GE Vernova T&D India as a transmission technology platform amid India’s ongoing grid expansion and energy transition push.

Disclaimer: This article is for informational purposes only and should not be construed as investment advice.