Crompton Greaves Consumer Electricals Q4 Results: Good time to buy midcap stock now?

Crompton Greaves Consumer Electricals (CROMPTON) shares took centre stage on Dalal Street on Thursday, a day after the consumer goods maker staged an overall strong financial performance for the final three months of FY26. The stock registered mild gains in Thursday's trade, rising as much as 2.3 per cent to Rs 291.6 apiece, after starting the day on a muted note at Rs 283.4.

Brokerages maintained neutral-to-positive views on the midcap consumer goods stock, with targets ranging from Rs 285 to Rs 334, indicating some upside potential going forward.

Crompton Greaves Consumer Electricals Q4 FY26 results: Headline numbers vs estimates

After market hours on Wednesday, the company reported a net loss of Rs 531 crore for the quarter ended March 31, primarily fueled by an impairment charge of Rs 716 crore on its investment in subsidiary Butterfly Gandhimathi Appliances. The charge was related to goodwill and intangible assets acquired in 2022.

Its revenue grew 10.8 per cent to Rs 2,283 crore, according to a regulatory filing.

According to Zee Business research, Crompton Greaves CE was estimated to register a net profit of Rs 168 crore and revenue of Rs 2,238 crore.

Operational performance

The company's March-quarter EBITDA improved 1.1 per cent to Rs 270 crore, versus analysts' estimate of Rs 266 crore.

The company's margin came in at 11.8 per cent, versus 13 per cent a year ago. Analysts had pegged the quarterly margin at 11.9 per cent.

What market guru says

Zee Business Managing Editor Anil Singhvi said Cromton Greaves Consumer Electricals' results were mostly along expected lines, with a strong increase of 14.3 per cent in lighting revenue.

Singhvi sees support for the stock coming in at Rs 270.

He expects a higher level of Rs 294 in the counter.

How brokerages view Crompton Greaves shares post-Q4 FY26 results

Nomura maintains 'buy' rating on CROMPTON, raises target by Rs 17

Nomura kept its 'buy' rating on Crompton Greaves while raising its target for the midcap stock to Rs 334 from Rs 317.

Its latest target indicates an upside of 17.2 per cent from Wednesday's close.

According to the brokerage, a growth recovery is on track at Crompton Greaves with an attractive valuation of 25x FY28F EPS.

Nomura has revised its EBITDA margin estimate for the consumer goods maker by 30 bps each to 10.4 per cent and 11.3 per cent for FY27 and FY28, respectively.

On the other hand, Morgan Stanley maintained its 'equal-weight' rating on Crompton Greaves with a target of Rs 285.

Crompton is looking at premiumisation and adjacencies to drive the next leg of its growth journey, with a focus on strengthening its ECD franchise, a sustained recovery in lighting, a turnaround in Butterfly and scale-building in new segments, according to the brokerage.

Morgan Stanley analysts noted that demand volatility and input cost inflation will be the key monitorables in Crompton Greaves going forward.

Citi maintains 'buy' on Crompton Greaves, raises target by Rs 25

According to Citi, the white goods maker's near-term demand growth outlook is strong, led by a strong summer season, a low base and tailwinds from relatively new categories like solar rooftop and solar pumps.

However, the brokerage added that the margin risk remains a key monitorable amid raw material inflation.