Tube Investments share price rallies 9% post Q1 earnings commentary

MOFSL noted that Tube Investments' Q1FY27 adjusted PAT came in line with its estimate despite a 70 basis point miss on Ebitda margin.

Tube Investments of India Ltd.’s share price gained nearly 9 per cent on Tuesday after the brokerage firm Motilal Oswal Financial Services maintained a bullish stand on the company post earnings commentary on June quarter (Q1FY27) results.

 

As of 12:17 PM, the company’s share price was trading 8.42 per cent higher at ₹2,971.50 apiece, meanwhile Nifty 50 was trading 0.32 per cent lower at 24,209.60. The company’s stock hit an intraday high of 8.68 per cent at ₹2,979

 

Motilal Oswal on Tube Investments 

The brokerage firm noted that Tube Investments’ Q1FY27 adjusted PAT came in line with its estimate despite a 70 basis point miss on Ebitda margin. “Despite near-term margin headwinds, Tube Investments offers diversified revenue streams, with steady growth in the core business and CG Power, as well as the optionality of new businesses incubated under the TI-2 strategy”. 

 

 

From the management’s commentary, the brokerage highlighted that Tube Investments’s core business remains fundamentally strong, with the Engineering business having delivered 17 per cent volume growth and exports growing in double digits, while MFP revenue growth improved to 11.5 per cent during the quarter. Further, with the 2-3 quarter lagged recovery of steel inflation, management expects margins to recover and improve, despite near-term margins remaining under pressure due to input cost inflation.

 

The brokerage reiterated a ‘Buy’ rating with a target price of ₹3,379.

 

Tube Investments of India Q1FY27 Results

Tube Investments reported a mixed bag of results with consolidated profit dipping 15 per cent year-on-year to ₹168.6 crore for the quarter ended June 30, 2026, compared with ₹198.9 crore in the year-ago period. Revenue, however, rose 17 per cent to ₹6,215.1 crore from ₹5,309.1 crore. Ebitda remained broadly flat at ₹547.8 crore, against ₹546.2 crore in the year-ago quarter, while Ebitda margin contracted to 8.8 per cent from 10.3 per cent.

   

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