United Spirits Share Price Falls After Profit Slips In Third Quarter
United Spirit' net profit was down by 4% to Rs 335 crore, against Rs 350 crore in the same period last year.
United Spirits Ltd.'s share price fell after its profit fell in the third quarter, even as revenue rose.
The company posted a sales growth of 11.1% to Rs 3,433 crore against Rs 3,002 crore in the previous year. The Ebitda was also up 17% to Rs 568 crore when compared to Rs 486 crore last year. The net profit of the company, however, was down by 4% to Rs 335 crore against Rs 350 crore in the same period last year. The margin was at 16.5% against 16.2%.
Despite this, United Spirits is one among the companies that Jefferies expects will outperform on their result day, despite weak earnings. The earnings miss has already been factored in these stocks, the brokerage said.
"While these stocks could still miss, if the pattern seen during the previous result season repeats, these stocks could, on average, outperform on the results day," it said.
United Spirits Share Price
United Spirits Ltd. stock fell as much as 2.62% during the day to Rs 1,461.3 apiece on the NSE. It was trading 1.04% lower at Rs 1,483.4 apiece, compared to a 0.30% decline in the benchmark Nifty 50 as of 10:04 a.m.
It has risen 33.11% in the last 12 months. The total traded volume so far in the day stood at 7.4 times its 30-day average. The relative strength index was at 44.8.
Of the 25 analysts tracking the company, 15 have a 'buy' rating on the stock, five recommend a 'hold' and five suggest a 'sell', according to Bloomberg data. The 12-month analysts' consensus target price on the stock is Rs 1,554.6, implying an upside of 3.8%.
