After UBS raises target price, ABB India shares rise 7% to record high

ABB India shares

In early trading today, ABB India shares surged 7% to a new overall high of 6,341.90 per share. This increase in price was prompted by UBS. A global brokerage firm, which raised the target price on the stock from ₹5,380 to ₹7,550 per share in its most recent report. UBS cited high double-digit growth in domestic and export orders. from the motion and low-power EP segments and as well as a steady ramp-up in OPMs. 

ABB India shares

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In addition, UB Sdefined a bullish scenario featuring a target price of ₹8,840 per share. The bank formed a lower valuation target of ₹4,840 per share. Which accounted for a reduced rate of order influx and restricted potential for margin growth.

A substantial network of manufacturing facilities enables ABB

ABB Group, a Swiss-based multinational corporation specialising in power, automation, and solutions. With operations in over 100 nations, owns 75% of ABB India shares . A substantial network of manufacturing facilities enables ABB to dominate the automation sector of the process industry in India. India serves as a resource base for ABB Group’s global operations as well.

The brokerage noted that ABB India shares is broadening the geographical reach and spectrum of its low. Medium-voltage product suite to include both emerging and conventional market segments. Prominent multinational corporations, including SIEM, Schneider, and ABB, are intent on capitalising on the sustained expansion of the electrification sector.

Regarding motion, UBS stated that mobility, encompassing semi-high-speed rail, conventional rail, and metro. Has resulted in an increase in order inflow run rate. The bank believes that this increase is sustainable on an annual basis, although quarterly volatility may endure. This is due to the fact that ABB is concurrently expanding capacity to capitalise on growth opportunities. 

ABB India shares is sharpening its focus on product range expansion and availability, and low/medium-voltage electrification and motion, both of which are experiencing robust demand. Provide ample opportunity for the company to achieve profitability.”

ABB India shares

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Notwithstanding immediate apprehensions regarding short-cycle order fatigue (particularly within the motion division). The report asserts that ABB India shares has ample opportunity to increase its new order growth. In the motion (mobility-led positioning) and low/medium-voltage electrification product expansion sectors. This augurs positively for ABB’s margins, even at present levels. 


The opinions and suggestions expressed in this article are the personal opinions of the analysts cited. These statements do not reflect the stance of Mint. Because It is recommended that investors consult with certified experts prior to finalising any investment decisions.

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