Should you buy Avenue Supermarts & Delta on dips? Hemang Jani answers

economictimes.indiatimes.com:

Independent market expert Hemang Janisays that in terms of growth outlook, one can expect about 25-27% growth in the case of Avenue Supermarts. In case of any meaningful correction of about 3% to 5%, it makes sense to add. In the case of Delta, a large part of the negativity in terms of the new GST norms is already in the price.

It is just a matter of time when the F&O ban gets over and we could see a smart pullback in the name.You track Avenue Supermarts closely. It is still a hold from Jefferies but the target has been reduced to Rs 3,700. The current market price is Rs 3,845. They are saying that the EBITDA was slightly ahead of modest estimates but a miss on consensus. Morgan Stanley is maintaining equal weight but again, target price has been cut to Rs 3,786. If there is a meaningful decline in the stock, do you recommend buying into it?I surely think so.

The overall growth that they have clocked from 2023 has been extremely good. Despite the slower SSSG growth, they have managed to protect the EBITDA margin at pre-Covid levels. As we see, the general inflation easing and the company's strategy to open larger stores compared to smaller ones would surely give them a good amount of stable growth over the next few years.

So in terms of growth outlook, one can surely expect about 25%, 27% growth. In case of any meaningful correction of about 3% to 5%, surely it makes sense to add.JustDial is a Reliance company and it has not really lived up to the expectations.I have not looked at it in great detail but if you see the trend, some of the product companies have seen a very smart recovery in their operating performance. Even if you look at JustDial headline numbers, both in terms of revenue and profitability, there is a