Motilal Oswal has maintained a Neutral rating on SONA BLW Precision Forging with a target price of ₹652 in its research report dated July 23, 2026. According to the brokerage's analysis, the stock appears fairly valued at current levels, trading at 56.3x/44.2x FY27E/FY28E earnings multiples.
The company's first quarter FY27 consolidated profit after tax (PAT) of ₹1.8 billion came in line with Motilal Oswal's estimates. As reported by the brokerage, EBITDA margin contracted 70 basis points year-on-year to 23.1%, which was in line with expectations. The margin compression was attributed to an adverse product mix and higher input prices during the quarter.
Motilal Oswal's target price of ₹652 is valued at 40x FY28E EPS, reflecting the brokerage's assessment of the company's current valuation levels. The research report indicates that the stock's current trading multiples suggest fair value at present levels, supporting the Neutral rating recommendation.
