10 Oct 2025 | 3 Mins Read
Sell Tata Elxsi, target Rs 4400: Motilal Oswal
Flipitmoney
Tata Elxsi's 2QFY26 revenue was USD105m, a 1% QoQ increase in constant currency terms. EBIT margin was 18.5%, below estimate. PAT was INR1,548m, a 7.2% QoY increase but 32.5% YoY decline. Valuation is steep at 52x forward P/E. The research firm expects revenue growth of 4% and EBIT/PAT decline of 9%/4% YoY in 2HFY26.