Buy Transport Corporation of India; target of Rs 1500: Motilal Oswal

Motilal Oswal's research report on Transport Corporation of India

Transport Corporation of India’s (TRPC) revenue grew 7.5% YoY to ~INR12b in 2QFY26 (in line). Revenue growth experienced a slowdown across segments despite the company witnessing strong demand across auto, FMCG, and consumer durables. EBITDA margin came in at 10.5% in 2QFY26 (+10 bp YoY and -10 QoQ), against our estimate of 10.9%.EBITDA grew 8.2% YoY to INR1.26b (6% below our estimate), while APAT grew 5.8% YoY to ~INR1.12b (in line).

Outlook

We retain our estimates and reiterate our BUY rating with a TP of INR1,500 (based on 20x FY28E EPS).