Exide Industries stock price surges 6% to reach new 52-week high following Morgan Stanley’s target price increase, predicting 22% potential upside

Exide Industries share price soared over 6% to a new 52-week high, following a target price raise by Morgan Stanley. The stock surged 6.56% to ₹423.80 on the BSE after the brokerage firm reiterated an ‘Overweight’ rating and hiked the target price to ₹485 from ₹373.

Morgan Stanley foresees multiple growth drivers for Exide Industries, projecting a potential 22% upside from Friday’s closing price. The firm highlights the government’s support for Made in India Electric Vehicles (EVs) as a key factor that could propel Exide Industries to become a major player in battery cell localization.

Furthermore, the report states that the rising demand for lithium batteries in the EV and industrial sectors could result in a Total Addressable Market (TAM) of $13 billion for Exide Industries to capitalize on. The firm also underscores Exide Industries’ strategic automobile and industrial partnerships as well as its early mover advantage as favorable aspects for future growth.

The recent surge in Exide Industries share price is also attributed to the company’s collaboration with Hyundai Motor Company and Kia Corporation for EV battery production in India. Currently, the stock is trading 3.09% higher at ₹410.00 on the BSE. The rally in Exide Industries share price has been significant, with a 34% increase in one month and over 28% year-to-date (YTD) growth.

Overall, the positive sentiment surrounding the stock is driven by strong growth prospects in the EV battery market and strategic partnerships with key players in the automotive industry.