Click here for graphWith capacity constraints getting resolved from Q3FY15 and launch of Discovery Sport/Jaguar XE, we expect volume growth momentum to continue. However, margins at 20.3% appear to have peaked in the medium term. We are forecasting 17.3% /16.4% Ebitda margins for JLR in FY15/16E, Edelweiss said in a report. The brokerage has raised its earning estimates for the company. We raise JLR margins by ~80 bps for FY15E/FY16E as we factor in operating leverage benefits, rising China share and benign commodity costs. Thus, we raise our Ebitda estimates by ~8% for FY15E/FY16e. Maintain buy with SoTP target price of R550 (5.5x FY16E EV/Ebit for JLR and 6x EV/Ebitda for TTMT)," Edelweiss added.