Crompton Greaves Share Price Rises As Jefferies, CLSA Bullish After Robust Q4 Earnings
Jefferies and CLSA highlighted a strong margin recovery in the final quarter of fiscal 2025 and improved growth visibility across segments.
Share price of Crompton Greaves Consumer Electricals Ltd. surged in Friday's trading session, after the company reported robust financials for the final quarter of fiscal 2025.
The company's consolidated net profit surged 23%, according to an exchange filing on Thursday. The company posted a profit of Rs 169 crore in the fourth quarter as compared to Rs 138 crore in the same period last year.
Brokerage firms Jefferies and CLSA are thereby both optimistic, highlighting a strong margin recovery in the final quarter of fiscal 2025 and improved growth visibility across segments.
Jefferies reiterated a 'buy' rating with a price target of Rs 485, citing a 13% year-to-date dip in the stock and a favourable risk-reward setup. CLSA, meanwhile, has upgraded its target price from Rs 405 to Rs 410 while maintaining an 'outperform' rating.
While both brokerages flagged seasonal slowdown and some weakness in fans and Butterfly's performance during the summer quarter, they remain upbeat. Jefferies expects 14% compound growth in sales over fiscals 2025 to 2028, while CLSA sees margin gains as the key catalyst for stock re-rating.
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Crompton Greaves Consumer Electricals Q4 Review: Jefferies, CLSA Optimistic On Strong Margin
Crompton Q4 FY25 Highlights (Consolidated, YoY)
Revenue up 5% to Rs 2,061 crore versus Rs 1,961 crore.
Ebitda up 30% at Rs 264 crore versus Rs 204 crore.
Margin expands to 12.8% versus 10.4%.
Net profit up 23% to Rs 169 crore versus Rs 138 crore.
Crompton Greaves Share Price Today
The scrip rose as much as 6.39% to Rs 348 apiece, the highest level since April 23. It pared gains to trade 5.68% higher at Rs 346 apiece, as of 11:02 a.m. This compares to a 0.25% decline in the NSE Nifty 50 Index.
It has fallen 12.76% year-to-date, but risen 1.83% in the last 12 months. Total traded volume so far in the day stood at 18 times its 30-day average. The relative strength index was at 56.16.
Out of 39 analysts tracking the company, 36 maintain a 'buy' rating, two recommend a 'hold,' and one suggests 'sell,' according to Bloomberg data. The average 12-month consensus price target implies an upside of 24.7%.
