Buy Jamna Auto Industries, target price Rs 135: ICICI Direct
Jamna Auto Industries with a target price of Rs 135. The current market price of Jamna Auto Industries is Rs 116.75.
Time period given by analyst is month when Jamna Auto Industries price can reach defined target.
Jamna Auto Industries, incorporated in the year 1965, is a Small Cap company (having a market cap of Rs 4604.51 Crore) operating in Auto Ancillaries sector.
Jamna Auto Industries key Products/Revenue Segments include Automobile Products & Accessories, Scrap and Royalty Income for the year ending 31-Mar-2023.
Financials For the quarter ended 30-06-2023, the company has reported a Consolidated Total Income of Rs 576.32 Crore, down -9.44 % from last quarter Total Income of Rs 636.38 Crore and up 4.94 % from last year same quarter Total Income of Rs 549.19 Crore. Company has reported net profit after tax of Rs 45.59 Crore in latest quarter.
Investment Rationale
The brokerage assigns BUY rating on Jamna Auto tracking cyclical upswing in domestic CV spaceamidst robust infra spends by government and revival in private capex cycle, JAI’sintent to diversify both in terms of products and markets, healthy financials in termsof 25%+ RoCE’s & net cash positive B/S and inexpensive valuations (16x P/E on FY25E).
Promoter/FII Holdings Promoters held 49.95 per cent stake in the company as of 30-Jun-2023, while FIIs owned 3.29 per cent, DIIs 14.6 per cent.
