Unimech Aerospace Shares Is Still A 'Buy' For Anand Rathi Despite Tariff Headwinds, Diversification Push

While the pre-IPO fund-raising unlocks additional growth levers, ongoing capacity expansion supports its scalability. Backed by a strong executionfocused team, Unimech remains well-placed for long-term value creation. Although FY26 is likely to remain soft due to tariff-related headwinds, the medium-term outlook remains robust, aided by aero-tooling scale-up, ramp-up of engine stands and diversification into nuclear, semiconductor and defence PCA..NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Anand Rathi Report.While Unimech Aerospace and Manufacturing Ltd.'s FY26 outlook remains soft due to tariff headwinds, the medium-term outlook remains robust, driven by aero-tooling scale-up (through stock keeping unit additions and engine stands ramp-up) and diversification into nuclear, semiconductor, and defence PCA with pre-IPO fund-raise unlocking additional growth levers. .Whilst we expect revenue/PAT to clock 36.5/27% CAGR over FY25-28, considering Q2 performance, we trim our topline and margin estimates to reflect slower ordering, weaker offtake amid tariff uncertainty and steady improvement in operating leverage. At current market price, the stock trades at 44x/28x FY27e/FY28e EPS. We maintain Buy with a revised target price of Rs 1,375 (50x Sep’27e EPS). Strong margins, superior asset turns, and lean working capital vs aerospace peers should help sustain premium valuations. .Key risks: High dependence on the top 10 clients, and potential delays in nuclear and semiconductor orders could dent FY27 growth..Click on the attachment to read the full report:.Dalmia Bharat Shares: HDFC Securities Trims Ebitda Estimates But Maintains 'Buy' — Check Revised Target Price.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.