Multibagger alert! Pricol share price gains nearly 100% in 1 yr, more than 1,200% in 5 years. Is it time to accumulate?
₹500 from ₹465 previously. The brokerage sees a potential upside of 11% for the stock.
“We move to ACCUMULATE rating and revise our target price to ₹500, mainly due to an increase in multiple to 24x (previously 22x) and upward revision in margins, partially offset by reduction in revenue estimates, and the outstanding recent stock performance," the brokerage said. Also Read: Multibagger stock: Pricol climbed over 900% in less than four years; what lies ahead?According to an exchange filing, Pricol recorded a consolidated profit after tax of ₹41.50 crore for the quarter ending in January–March 2024.
During the same time last year, the Coimbatore-based auto component producer reported a net profit of ₹29.80 crore. The net profit for the fiscal year that concluded on March 31, 2024, was ₹140.61 crore, compared to ₹124.68 crore the previous year.Consolidated total income for the quarter under review increased to ₹588.51 crore from ₹525.37 crore during the same period the previous year.
The consolidated total income climbed to ₹2,284.94 crore for the fiscal year that ends on March 31, 2024, from ₹1,963.14 crore the previous fiscal year.Pricol's revenue growth expectations were not met, according to Monarch Networth Capital's brokerage, mainly as a result of its OEM clients' delayed start of production. Due to manufacturing savings, adj.
EBITDA margins were unexpectedly high at 13.7%; the brokerage anticipates these levels will remain between 13.5% and 13.5%.Also Read: Multibagger Stock: Jeena Sikho Lifecare share price gains over 500% in 1 yr, more than 1,300% since 2022. Time to buy?According to the brokerage's analysis, it expects new launches and a return to normalcy of production delays at OEMs beginning in 1QFY25, with
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