Voltas share price: Nuvama upgrades rating but Jefferies cuts target price after analyst meet. Here’s why

Shares of Voltas received mixed brokerages calls after the company’s analyst meet, with some reducing target prices while some upgraded their rating on the stock.

This comes after a sharp run down in Voltas shares this year amid multiple headwinds. After hitting a 52-week high of Rs 1,583 apiece in February this year, the stock dropped more than 30% in less than seven months to hit a fresh 52-week low of Rs 1,100 on Tuesday. The shares of the Tata Group-company have fallen 11% in just one month.

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Nuvama upgrades rating on Voltas share price

After attending Voltas’ analyst meet, Nuvama upgraded its rating on the shares of the company to ‘Hold’ from ‘Reduce’, citing the recent sharp fall in share price. Despite the rating upgrade, it reduced its target price for the stock to Rs 1,220 apiece from Rs 1,230 apiece, with the latest estimate implying around 11% upside potential from the stock’s previous closing price of Rs 1,101 apiece.

Nuvama said Voltas management highlighted prioritisation of market share and absolute profit growth over margin percentage in UCP, prototype establishment under Atomberg JV for compressor by January 2028, leeway in QCO compliance given compressor manufacturing plans, significant data centre opportunity over next two-three years and exports, commercial AC and domestic MEP to emerge as longer-term growth opportunities.

The brokerage cut the company’s FY27 and FY28 EPS estimates by 10% and 9% respectively to reflect margin headwinds, thus arriving at the target price.

Jefferies cuts target price for Voltas

Jefferies maintained its ‘Buy’ call on the shares of Voltas but decreased its target price to Rs 1,495 apiece from Rs 1,580 apiece. The latest target price implies around 36% upside potential from the stock’s previous closing price.

The international brokerage noted that the company’s MD and CFO reiterated Voltas’ focus on sales (volumes). Its market share rose to nearly 19% in July 2026, from 15.9% overall in FY26. Channel inventory is now normal at around 30 days, and secondary sales in the September quarter have been healthy so far due to low base.

Despite the total price hike of around 12% in 2026 so far, Voltas continues to face cost surge due to the Middle East conflict, on the back of rising commodity prices and weak rupee, Jefferies noted. Hence, the international brokerage factor margin pressure and cut EPS. However, it noted that following a 20% dip in the share price this year so far, Voltas shares trade 12% below its five-year average PE.

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Disclaimer: This article has been written by Debaroti Adhikary, who is not a SEBI-registered Research Analyst or an Investment Adviser. Debaroti Adhikary and his/her ‘relative(s)’ (as defined under Section 2(77) of the Companies Act, 2013) do not hold any financial interest in the companies mentioned in this article as of the date of publication. The views/recommendations mentioned in this article, wherever applicable, are those of the respective SEBI-registered Research Analyst/brokerage and have been reproduced/reported with due attribution. They should not be construed as the views or recommendations of The Economic Times Digital or the journalist. Readers are advised to consider the original research report and make their investment decisions based on their own assessment. Brokerage disclaimers here.