'Buy' Cera Sanitaryware Shares Maintains Anand Rathi, Trims Target Price — Check Details

Cera's management is optimistic of recovery in H2 FY26 and is aiming at 7-8% growth for FY26. Volume recovery will aid achieving an operating margin of 14.5-15%. The company continues to focus on brand building, product innovation and operational efficiency..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. .Anand Rathi Report.Cera Sanitaryware Ltd. reported a flat revenue of ~Rs 4.9 billion in Q2 FY26, largely due to subdued retail environment and poor performance of faucetware. Gross profit declined 3.7% YoY to ~Rs 2.5 billion, led by elevated input cost. Despite high employee expenses, decline in Ebitda was arrested at Rs 671 million (down 3.5% YoY), owing to lower other operating expenses. However, PAT tumbled 16.8% YoY to Rs 566 million due to onetime deferred tax income recognised in previous year. Management targets 10-12% growth in H2 FY26 and 7-8% growth in FY26. Expecting revenue/earnings to clock 8.9/11.8% CAGR over FY25-28, we maintain Buy rating on the stock with a 12-month target price of Rs 8,443 (from Rs 8,956 earlier), valuing it at 35x FY27e/FY28e average earnings per share..Risks: Demand slowdown, under-absorption of overheads, higher input cost, and increased competitive intensity..Click on the attachment to read the full report:.Utkarsh Small Finance Bank Can Rally 63% Says ICICI Securities As It Resumes Coverage With 'Buy' Rating.DISCLAIMERThis 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.

'Buy' Cera Sanitaryware Shares Maintains Anand Rathi, Trims Target Price — Check Details

Anand Rathi maintains 'Buy' on Cera, but trims target price - here's why

NDTV Profit

NDTV Profit

Follow Us

DISCOVER US FASTER

DOWNLOAD THE APP