Goldman Sachs has upgraded its view on Azad Engineering, setting a ₹3,315 target that translates to an 11.7% upside from the current trading level of ₹2,978.6 on the NSE.
The upgrade comes after Azad announced a ₹52.7‑crore, two‑year rate contract with Bharat Heavy Electricals (BHEL) for critical stationary and rotating airfoils for heavy‑duty gas turbines, scheduled to run through October 2028.
Azad, which was previously classified as a non‑material order, now qualifies as material due to the combined value and duration of the deal, signaling a ramp‑up in its energy‑sector business.
Among nine analysts covering the stock, eight hold a ‘buy’ rating and one a ‘sell’, while the consensus price‑target consensus suggests a minor 2.5% downside potential from the new target.
Shares closed up 0.3% after hitting intraday lows of ₹2,978.6, and have rallied 83% year‑to‑date, reflecting growing confidence in the domestic gas‑turbine supply chain.
Azad’s next earnings call is slated for November, when it will likely discuss the operational impact of the BHEL contract and any expansion into other domestic power equipment manufacturers.