BQ Prime’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BQ Prime’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.
Dolat Capital Report
Avenue Supermarts Ltd.’s Q1 FY24 was tepid across parameters viz. revenues, mix and thus margins. Revenue/gross profit/Ebitda/adjusted profit after tax grew by 18.8/8.8/2.8/2.3% YoY.
Store additions was modest at three in line with past trend.
DMart has seen healthy recovery in food and fast moving consumer goods segment (~73-75% of revenues) but has lower margin. Its high margin gross merchandise and apparel continues struggle, especially apparel with increase in competition from vertical players.
Maintain estimates and 'Sell' with target price of Rs 3,225 @ 60 times FY25E earnings per share (earlier Rs 3,200). DMart stock price has seen a healthy time and price correction. In backdrop of weak recovery, we expect it to continue in near-term.
Click on the attachment to read the full report:
DISCLAIMER
This report is authored by an external party. BQ Prime does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BQ Prime.
Users have no license to copy, modify, or distribute the content without permission of the Original Owner.
RECOMMENDED FOR YOU
Rupee Likely To Bounce Back Strongly In Second Half Of FY27: SBI Study
Tariff Pressures Persist, But Rice, Textiles And Marine Exports Hold Ground
'IndiGo's Headwinds Persist': Jefferies Lowers Target Price, But Remains Bullish — Check Potential Upside
'Buy' Bharat Electronics Shares For An Upside Of 20% Says Geojit On Multi Year Growth Visibility
POPULAR