As an effect of the global headwinds, ramped-up supply from China, and lower North American demand, UPL's Q4 earnings in March 2023 have been rather disappointing. With a leaner working capital cycle and reduction in gross debt, the forecast for UPL remains neutral, with a target price of Rs. 750 per share.
The highest price that UPL stock has shot up to as yet is Rs. 828.00 on May 20, 2022.
For 2024, the target price for UPL is downgraded to Rs. 530, given the 28% YoY decline in revenue during FY24. Research analyst at Motilal Oswal have reported declining margins due to low gross margins and unfavourable operating leverage. The overall sentiment for this stock is negative.
Yes, it does. To pursue independent growth strategies, UPL has created pure-play platforms for enhanced focus and operational freedom. The management has dismissed the reduction in FY23 net profit as a one-off event. It has also anticipated guided revenue growth of 6-10% and EBITDA growth of 8-12% for FY24.
As of now, there is no word on the next dividend payout. However, UPL has consistently declared dividends over the last 5 years. Its latest dividend was on May 9, 2022, amounting to Rs. 10 per share, or 500%.
UPL is currently trading between its 52-week high and low marks at Rs. 694 as of May 9, 2023. The stock price has declined by 12.06% over the last year.