# Tata Elxsi Q2 Results: IT Stock Soars 7%

> Tata Elxsi shares surge 7% after Q2 results beat expectations, but brokers caution on sustained growth.
- Title: Tata Elxsi Q2 Results: IT Stock Soars 7% · mint | Shortify
- Summary: Tata Elxsi shares surge 7% after Q2 results beat expectations, but brokers caution on sustained growth. Tata Elxsi shares rose 7% following Q2 revenue growth…
- Keywords: tata elxsi, q2 results, net profit, revenue growth, motilal oswal, sell rating, share price, bse, news, india, Tata, Elxsi
- Source: mint — https://livemint.com/market/stock-market-news/tata-elxsi-q2-results-impact-it-stock-soars-7-buy-sell-or-hold-check-highlights-target-price-share-price-trend-11791906874922.html
- Author: Pranati Deva
- Published: 2026-10-14T04:20:08+00:00
- Read time: 1 min
- Topics: tata elxsi, q2 results, net profit, revenue growth, motilal oswal, sell rating, share price, bse, news, india
## Tata Elxsi Q2 Results
Tata Elxsi shares jumped 7% after quarterly revenue rose 15% and net profit increased 10% year-on-year.
## Sequential Growth Beat Expectations
Constant-currency revenue growth of 2.3% exceeded expectations of 1.5%.
## Motilal Oswal Rating
Motilal Oswal retained its Sell rating, citing risks to sustained growth and margin recovery.
## Share Price Trend
Shares surged 7% to ₹ 3,664.20 on BSE, gaining 19% over the past week and 8.5% over the past month.
## Long-Term Decline
The stock remains 38% below its 52-week high of ₹ 5,949.95, recorded in January 2.026.
## Key Financials
Net profit rose 10% to ₹ 170 crore, revenue grew 15% to ₹ 1,056 crore, and total income increased 13% to ₹ 1,090 crore.
## CEO Commentary
CEO Manoj Raghavan noted revenue growth of 3.4% QoQ in rupee terms and 2.3% QoQ in constant currency.
## Cost Concerns
Employee benefit expenses rose 15% to ₹ 620 crore, and total expenses increased 13% to ₹ 851 crore.
## Motilal Oswal Target
Motilal Oswal raised its target price to ₹ 2,970, implying a 13% downside from Tuesday's closing price.
## European Market Concerns
Subdued automotive demand in Europe remains a key constraint on growth, with delayed decisions affecting spending.
## Brokers' Outlook
Motilal Oswal expects revenue growth to improve in H2 FY27 but warns of slow deal conversion.
## Key takeaway

Tata Elxsi shares rose 7% following Q2 revenue growth of 15% and net profit increase of 10% year-on-year, though Motilal Oswal maintains a 'Sell' rating.