THIS Welspun Group Stock Zooms 6% In Morning Trade; Is There More Steam Left? Know Latest Target Price

Welspun Group Stock In Focus: Shares of the Indian textile exporter, Welspun Living, rallied nearly 6% during the opening trading session on Thursday, June 5. Welspun Living stock rally has come after Jefferies revised its target price for the textile stock.

The company's strong client base in India and abroad and its expansion plans are likely to boost the company's operational performance in the long run. Welspun Living shares opened at 139.8 per share on BSE on Thursday. Welspun Living stock is trading 6.28% higher at Rs 142.30 per share on BSE at 9:25 am. The company shares ended 2.68% higher at Rs 133.9 per share on BSE on Wednesday, with a market capitalisation of Rs 12,843.05 crore.

Welspun Living Stock Price Recommendation

The global brokerage firm Jefferies has initiated a 'Buy' rating indicating an upside potential of 42%. It has fixed a target price of Rs 185 per share for the Welspun Group stock, reported CNBC TV-18.

The company has a strong client base in India and abroad as it has partnered with retail giants like Walmart and Costco for a longer duration.

The company recently reported its March quarterly results for financial year 2024-25. Underlining the textile company's upbeat quarterly earnings despite global headwinds, Axis Securities maintained a 'Buy' rating for Welspun shares with a target price of Rs 170 apiece. The brokerage has indicated a 16% upside in the company scrip value.

"We marginally revise our estimates on several fronts, given our outlook on the sector and the management's commentary on the company. Our estimates account for the potential delay in margin improvement, with significant improvements expected in the longer term. Consequently, we maintain our BUY rating on the stock, valuing the company at 12x FY27E. Our target price is revised to Rs 170/share, implying an upside of 16% from the CMP," read a recent note by Axis Securities on Welspun Living.

Welspun Living Q4 Result

Welspun Living's Q4 revenue and operating profit margins were in line with expectations despite persistent geopolitical uncertainty and trade tensions due to US tariff policy, although the company withheld the formal financial year 2025-26 guidance due to ongoing macro headwinds, noted Systematix Institutional Equities.

The brokerage indicated a strong upside opportunity for Welspun Living stock and maintained a 'Buy' rating with a target price of Rs 176 per share. The brokerage has trimmed Welspun's FY26-27 revenue estimates by 3%, consideringa slight decline in its demand. Welspun Living's EBITDA margin estimates have also been reduced for long term.

"We have trimmed our FY26/FY27E revenue by 3% to factor in the slight softness in demand during 1HFY26. EBITDA margin too has been cut by 40bps each, as we expect costs to increase on higher tariffs, which also explains the 6.8%/6.4% cut in EBITDA for the same period; there is no change to our EPS numbers. We retain our BUY rating and target price at Rs 176, based on 16x FY27E," noted Systemax Equities.

Welspun Living Q4 Result

Welspun Living reported a 9.7% annual decline in its net profit to Rs 131.8 crore against Rs 146 crore reported in the same period last year. Its consolidated revenue for the March quarter stood at Rs 2646 crore, which was 2.7% higher than the revenue reported in the year ago period. The company's EBITDA also declined by 12% to Rs 316 crore.

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