Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Google
Web www.equitybulls.com
Research

| More

Shankara Building Products Ltd - BUY - TP Rs.1654 - Result Update - Kotak

Posted On: 2017-11-18 22:14:22

- Revenues for Q2FY18 reported a decline of 5% YoY due to unprecedented monsoons in its key operating regions, strained cash flows with channel partners owing to GST implementation as well as slower demand from builder segment owing to RERA implementation. Also, before GST regime, excise duty was a part of revenue. Post GST implementation, excise duty is subsumed in GST and not a part of revenue, hence revenue are not comparable. Margins witnessed an improvement led by increased proportion of retail revenues in the overall mix and strong same store sales growth. Company has added nearly 6 stores during the quarter and maintains its store addition target of 15-20 during the current fiscal. It has also added new brands thereby increasing the product categories and range of offerings.

- We continue to remain positive on the company as it is likely to benefit from increasing shift towards organized retail in home building segment. Company is witnessing improved traction in the retail segment with better than expected margins, addition of more brands and addition of large format stores at low rentals. Owing to this, we upgrade our valuation multiples for Shankara building products and arrive at a revised price target of Rs 1654 based on average of 33x P/E and 17x EV/EBITDA multiples on FY19E on consolidated basis. We continue to maintain BUY recommendation on Shankara Building Products (Rs.1528 earlier based on 30x PE and 16x EV/EBITDA on FY19E).

Shares of Shankara Building Products Ltd was last trading in BSE at Rs.1501.2 as compared to the previous close of Rs. 1481.8. The total number of shares traded during the day was 5384 in over 467 trades.

The stock hit an intraday high of Rs. 1514.4 and intraday low of 1484.35. The net turnover during the day was Rs. 8076606.


Source: Equity Bulls

Click here to send ur comments or to feedback@equitybulls.com


Disclaimer:The article above is a gist / extract of the original report prepared by the research firm / brokerage firm. This article is not to be considered as an offer to sell or a solicitation to buy any securities. This article is meant for general information only. www.equitybulls.com, its employees or owners or the research firms, its employees or owners won't be responsible for any liability that may arise from information, errors or omissions in these articles. www.equitybulls.com or its employees or owners / the research firms or its employees or clients or owners may from time to time hold positions in securities referred in this article. For detailed research reports, please contact the concerned research firm directly.





Other Headlines:

Karia Can Company Ltd Q1FY19 net profit slips to Rs. 1.88 crore

Result Update: Bajaj Electricals Ltd - SELL - TP Rs.545 - Kotak

Result Update: Gabriel India Ltd - BUY - TP Rs.185 - Kotak

Result Update: Blue Star Ltd - ACCUMULATE - TP Rs.743 - Kotak

Result Update: The Phoenix Mills Ltd - ACCUMULATE - TP Rs.707 - Kotak

Result Update: NMDC Ltd - BUY - TP Rs.125 - Kotak

Result Update: National Aluminium Company Ltd - BUY - TP Rs.100 - Kotak

Result Update: PNC Infratech Ltd - BUY - TP Rs.219 - Kotak

Result Update: Insecticides India Ltd - BUY - TP Rs.892 - Kotak

Result Update: Mirza International Ltd - BUY - TP Rs.120 - Kotak

Wonderla Holidays Ltd - Kotak

Result Update: Greenply Industries Ltd - BUY - TP Rs.286 - Kotak

Result Update: Praj Industries Ltd - ACCUMULATE - TP Rs.89 - Kotak

Cholamandalam Investment & Finance Co. Ltd - Outperformer - Centrum

Initial Public Offer: CreditAccess Grameen Ltd - NOT RATED - Kotak

Result Update: Adani Ports and SEZ - BUY - TP Rs.485 - Kotak

Result Update: Carborundum Universal Limited - BUY - TP Rs.420 - Kotak

Result Update: Arvind Ltd - BUY - TP Rs.500 - Kotak

Result Update: Indocount Industries Limited - BUY - TP Rs.103 - Kotak

Result Update: Mahindra & Mahindra Ltd - ACCUMULATE - TP Rs.984 - Kotak

Initiating Coverage: Essel Propack Ltd - BUY - TP Rs.140 - Kotak

Sector Update: Natural Gas Sector - Kotak

Analyst Meet Update: Hero MotoCorp Ltd - ACCUMULATE - TP Rs.3473 - Kotak

Result Update: Time Technoplast Ltd - BUY - TP Rs.195 - Kotak

Result Update: VIP Industries Ltd - ACCUMULATE - TP Rs.570 - Kotak

Result Update: Marico Ltd - ACCUMULATE - TP Rs.375 - Kotak

Result Update: Mold-Tek Packaging Ltd - BUY - TP Rs.351 - Kotak

Result Update: Central Depository Services (India) Ltd - BUY - TP Rs.320 - Kotak

Result Update: Apollo Tyres Ltd - ACCUMULATE - TP Rs.301 - Kotak

Result Update: Akzo Nobel India Ltd - BUY - TP Rs.2200 - Kotak

Result Update: Jindal Stainless (Hisar) Ltd - BUY - TP Rs.227 - Kotak

Result Update: Tata Motors Ltd - REDUCE - TP Rs.277 - Kotak

Result Update: Bharat Electonics Ltd - BUY - TP Rs.135 - Kotak

Result Update: Bluedart Express Ltd - SELL - TP Rs.3215 - Kotak

Result Update: Supreme Industries Ltd - ACCUMULATE - TP Rs.1324 - Kotak

Result Update: Gujarat State Petronet Ltd - SELL - TP Rs.182 - Kotak

Market Strategy: Monthly Outlook for August 2018 - Kotak

Auto Industry Volume Update: July 2018 - Kotak

Result Update: Genus Power Ltd - BUY - TP Rs.58 - Kotak

Result Update: Mahanagar Gas Ltd - ACCUMULATE - TP Rs.1030 - Kotak

Result Update: Castrol India Ltd - BUY - TP Rs.195 - Kotak

Result Update: Persistent Systems Ltd - BUY - TP Rs.1025 - Kotak

Q1 FY19 Result Update: Chennai Petroleum Corporation Ltd - BUY - TP Rs.373 - Kotak

Result Update: Escorts Ltd - ACCUMULATE - TP Rs.958 - Kotak

Result Update: Shree Cements Ltd - ACCUMULATE - TP Rs.18487 - Kotak

Result Update: Container Corporation of India Ltd - BUY - TP Rs.775 - Kotak

Result Update: NIIT Ltd - BUY - TP Rs.125 - Kotak

Result Update: Petronet LNG Ltd - BUY - TP Rs.267 - Kotak

Optiemus Infracom Ltd launches BlackBerry® Evolve and BlackBerry® EvolveX

Result Update: Quess Corp Ltd - BUY - TP Rs.1302 - Kotak





Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2018