Strong performance in a tough quarter

Company
14 Aug 2024
5 Min read 
  • Company's stock CMP is INR 181 with a target price of INR 218 (+21%)
  •  Strong financial performance with 65.5% YoY growth in earnings
  •  Positive outlook based on new business ramp-up and strong order book
  •  Sequential net debt increase by INR 30b due to M&A closure
  •  Revenue grew 28.5% YoY to INR 288.7b, driven by inorganic growth
  •  Strong growth in wiring harness, modules & polymer, and emerging businesses
  •  Management expects improved RoCE in FY25 aided by acquisitions
  •  Valued at 28x/22x FY25E/FY26E EPS, reiterating a BUY rating with a revised TP of INR 218.
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