Radico Khaitan Gets 'Buy' As Systematix Initiates Coverage — Check Target Price

NDTV Profit’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 NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Systematix Report

We initiate coverage on Radico Khaitan Ltd. with a Buy rating and target price of Rs 3,473, valuing it at 58 times Sep 2027E earnings per share.

Radico Khaitan has successfully transitioned from a volume-driven liquor player into a brand-led premiumization story, underpinned by its-

1. deep backward integration in extra neutral alcohol,

2. diversified portfolio spanning multiple categories, and

3. consistent innovation in underpenetrated white spaces.

Radico is strategically placed to capture the structural shift in consumer demand towards premium spirits, backed by-

1. eight of its millionaire brands driving scale,

2. expanding presence across key states,

3. growing international footprint, and

4. rising share of P&A brands.

Financially, the company is entering a phase of strong operating leverage, with margin expansion, healthy cash flows, and a visible path to debt reduction by FY27.

We estimate 17.6%/ 25.8%/ 37.1% compound annual growth rate in revenue/ Ebitda/ adjusted PAT over FY25-FY28E, respectively.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit 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 NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.