Swaraj Engines Share Price in Focus After Strong Q2 Results: Centrum Broking Sees 24% Upside, What Is Next for the Stock?
- October 13, 2026
- Posted by: Ankit Jaiswal
- Category: News
Swaraj Engines share price: intraday high Rs 3,950 (+14.92%) and close Rs 3,738.40 (+8.70%) on 12 Oct 2026. Q2 FY27 PAT Rs 60.57 crore (+21.9%), revenue Rs 635.19 crore (+26%), engine sales 61,216 units (+19.6%). Centrum Broking: Buy, target Rs 4,500.
Quick Answer
The Swaraj Engines share price rose as much as 14.92% to Rs 3,950 on 12 October 2026 and closed at Rs 3,738.40, up 8.70%, after the company reported its highest ever quarterly profit for Q2 FY27. Net profit rose 21.9% to Rs 60.57 crore, revenue rose 26% to Rs 635.19 crore and engine sales grew 19.6% to 61,216 units. Centrum Broking retained its Buy rating and Rs 4,500 target, which is about 20% above the closing price (my calculation), while flagging moderating tractor industry growth and weather risks. Check the headline 24% upside against the price you pay, because upside changes with the price.
Swaraj Engines supplies diesel engines mainly to the Swaraj Division of Mahindra and Mahindra, and its Q2 results for FY27 beat the pace of the previous year on every major line. The Swaraj Engines share price reacted with one of its sharpest moves in months.
This guide covers the Q2 and H1 FY27 results, the share price move, how the Centrum Broking upside works, the valuation and what could go wrong. Where sources disagree or I calculate a figure, I say so.
A one day jump in the Swaraj Engines share price is not the same as a trend, so the sections below look at the numbers behind it.
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Swaraj Engines Q2 Results: Key Numbers for FY27
| Item | Q2 FY27 | Q2 FY26 | Change |
|---|---|---|---|
| Engine sales (units) | 61,216 | 51,164 | +19.6% |
| Net operating revenue (Rs crore) | 635.19 | 504.04 | +26.0% |
| Operating profit (Rs crore) | 86.45 | 68.03 | +27.1% |
| Profit before tax (Rs crore) | 81.38 | 66.75 | +21.9% |
| Profit after tax (Rs crore) | 60.57 | 49.68 | +21.9% |
The operating margin was about 13.6% and the PAT margin about 9.5% (my calculation). The company called Q2 its highest ever PBT and PAT. Operating profit grew a little faster than revenue, so margins held up and supported the Swaraj Engines share price.
| Item | H1 FY27 | H1 FY26 | Change |
|---|---|---|---|
| Engine sales (units) | 1,18,019 | 1,00,204 | +17.8% |
| Net operating revenue (Rs crore) | 1,223.58 | 988.14 | +23.8% (my calculation) |
| Profit before tax (Rs crore) | 156.02 | 133.92 | +16.5% |
| Profit after tax (Rs crore) | 116.10 | 99.65 | +16.5% |
H1 FY27 earnings per share were Rs 95.56. Profit growth in the half year was lower than in Q2, which means Q1 was weaker than Q2 and the second quarter lifted the average.
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Swaraj Engines Share Price Reaction and Levels
| Level | Value | Note |
|---|---|---|
| Intraday high on 12 Oct | Rs 3,950 (+14.92%) | Business Today |
| Close on 12 Oct | Rs 3,738.40 (+8.70%) | Close reported by one source |
| Implied previous close | About Rs 3,438 | My calculation: 3,738.40 / 1.087 |
| 52-week high | Rs 4,437.40 on 16 Oct 2025 | Data source |
| 52-week low | Rs 3,301.30 on 30 Mar 2026 | Data source |
| Market capitalisation | About Rs 4,706 crore | One source; about Rs 4,540 crore at the close (my calculation) |
At Rs 3,738.40 the Swaraj Engines share price is about 15.8% below its 52-week high (my calculation) and about 13% above the 52-week low. One report cited a 1 month gain of 8% and a 6 month return of about negative 1.3%, so the stock was not in a strong trend before the results.
Risk: A 15% intraday spike in the Swaraj Engines share price can fade. Part of the gain on 12 October was given back by the close, and the next sessions will show whether buyers stay.
Centrum Broking Target Price: How the 24% Upside Works
Centrum Broking retained its Buy rating and Rs 4,500 target. The headline calls this 24% upside. I could not find the Centrum report, so I cannot see its reference price.
| Base price | Upside to Rs 4,500 | Note |
|---|---|---|
| About Rs 3,629 | 24% | Price that gives the headline figure (my calculation: 4,500 / 1.24) |
| Rs 3,738.40 (12 Oct close) | About 20.4% | My calculation |
| About Rs 3,438 (earlier close) | About 30.9% | My calculation |
The upside depends on the price at which you buy, so after the jump the Swaraj Engines share price has less room to run to the Rs 4,500 target. Centrum flagged two risks: moderating tractor industry growth and weather, which drives rural demand.
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Swaraj Engines Share Price Drivers: Business Strengths and Risks
The company was founded in 1985 in Mohali, Punjab, and sells mainly to Mahindra and Mahindra’s Swaraj tractor division. It is virtually debt free and pays consistent dividends, which is why the stock often trades at a premium to book value.
| Strength | Risk |
|---|---|
| Debt free balance sheet and regular dividends | Dependence on one main customer |
| Engine sales up 17.8% in H1 | Tractor industry growth is moderating |
| Highest ever quarterly profit | A weak monsoon can hit rural demand |
| Operating profit growing faster than revenue | Raw material cost swings |
The customer link means the Swaraj Engines share price follows tractor demand closely. A strong monsoon and farm incomes help, and a weak one hurts.
What to Watch Next for the Swaraj Engines Share Price
- Whether the Swaraj Engines share price holds above Rs 3,738 after the spike.
- Monthly tractor sales data and the monsoon outlook.
- Margins in Q3 FY27, since the operating margin was about 13.6% in Q2.
- Any dividend announcement with the results cycle.
- Further brokerage notes on the Swaraj Engines share price after the Q2 results.
Conclusion
The Swaraj Engines share price jumped after a record Q2 FY27 with PAT up 21.9% and revenue up 26%, and Centrum Broking kept its Rs 4,500 target. The upside is about 20% at the closing price, not the 24% in the headline, and tractor demand and weather remain the risks. Read the exchange filing before you act on the Swaraj Engines share price.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Frequently Asked Questions
What were the Swaraj Engines Q2 FY27 results?
Ans. Net profit rose 21.9% to Rs 60.57 crore, revenue rose about 26% to Rs 635.19 crore, operating profit rose 27.1% to Rs 86.45 crore and engine sales grew to 61,216 units.
How much did the Swaraj Engines share price rise?
Ans. It rose as much as 14.92% to Rs 3,950 on 12 October 2026 and closed at Rs 3,738.40, up 8.70%, according to one report.
What is the Centrum Broking target for Swaraj Engines?
Ans. Centrum retained its Buy rating and a target price of Rs 4,500. That is about 20.4% above the Rs 3,738.40 close (my calculation), against the 24% in the headline.
Why does the headline say 24% upside?
Ans. A 24% upside to Rs 4,500 implies a base near Rs 3,629 (my calculation). I could not find the Centrum report to confirm its reference price.
What risks did Centrum flag for the Swaraj Engines share price?
Ans. Moderating tractor industry growth and weather risks.
What are the 52-week high and low of the Swaraj Engines share price?
Ans. Rs 4,437.40 on 16 October 2025 and Rs 3,301.30 on 30 March 2026, according to one data source.
Who is the main customer of Swaraj Engines?
Ans. The company supplies engines mainly to the Swaraj Division of Mahindra and Mahindra, which is also a concentration risk.
Should I buy Swaraj Engines shares now?
Ans. This article does not constitute investment advice. Consult a SEBI-registered financial advisor before you buy, sell or hold Swaraj Engines.
