Hold Voltas; target of Rs 1415: Prabhudas Lilladher

Prabhudas Lilladher recommended hold rating on Voltas with a target price of Rs 1415 in its research report dated December 18, 2025.

Broker Research

December 19, 2025 / 09:58 IST

hold

Prabhudas Lilladher's research report on Voltas

We attended VOLT’s analyst conference call, wherein the management highlighted continued weakness in the RAC industry, elevated channel inventory, and sustained margin pressures in the near term, while outlining early signs of channel pre-stocking ahead of BEE norm change and mediumterm growth levers across non-RAC cooling categories, EMPS and Engineering Products. Company expects gradual normalization in the coming quarters, with growth visibility improving into FY27, contingent on summer demand and cost improvement actions. Voltbek continued growth momentum with market share gains across its key products We estimate revenue/EBITDA/PAT CAGR of 9.0%/9.9%/12.1% for FY25-28E.

Outlook

The stock is currently trading at 47x/39x FY27/FY28E. we tweak our SOTP-based TP to Rs1,415 (Rs 1,411 earlier), implying PE of 39x FY28E. Maintain ‘HOLD’ rating.

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