Bullish indicating open at $55-$60, IPO prices at $37
Investing.com - Morgan Stanley (NYSE:MS) has upgraded Crompton Greaves (NSE:CGPO) Consumer Electricals Ltd (NSE:CROMPTON) from Underweight to Equalweight while raising its price target to INR337.00 from INR317.00.
The upgrade follows what Morgan Stanley describes as "steady progress" on the company’s Crompton 2.0 strategy, which aims to gain market share through brand investment, stronger go-to-market strategies, and product innovation, including over 80 new products and entry into new segments such as solar pumps and rooftop solar.
Despite challenging weather conditions in Q1 that impacted overall demand, Crompton gained market share across multiple product categories including TPW fans, air coolers, residential and agricultural pumps, and lighting, according to the research firm. Its Butterfly brand also increased its share in the small kitchen appliances segment.
Morgan Stanley noted that management sees "green shoots" in demand for small appliances and kitchen appliances ahead of India’s pre-festive period, with expectations for demand to strengthen in the second half of fiscal year 2026.
The firm’s revised outlook reflects confidence in Crompton’s strategy to improve margins through premiumization and operational efficiencies, alongside its market share gains in key product categories.
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