Buy Tube Investments Ltd For Target Rs. 3,385 by Motilal Oswal Financial Services Ltd

* The pressure in 2W OE demand is likely to weigh on revenue growth. As a result, we expect just 2% YoY growth in 4Q.
* While metal formed division is expected to grow by 12% YoY, mobility/engineering divisions may decline ~6%/1% YoY. Revenue from other business to grow ~11% YoY.
* EBIT margin may improve 20bp YoY, driven by 40bp/50bp YoY margin expansion in engineering/metal formed division.
* Margin for mobility division is also likely to improve to -0.5% vs. -5.7% in 4QFY24. Margin for other businesses may contract 90bp YoY.
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