ICICI Securities: Export Momentum Continues For Balkrishna Industries

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..ICICI Securities Report.Industry (Agriculture /off-the-road) export data continued its positive momentum with a approximately 20% YoY rise, this supports our faster growth rebound thesis for Balkrishna Industries Ltd.The latest monthly (July 2020) industry export data indicates V-shaped rebound across agri tyres (up approximately 33%) while off-the-road tyres (OTR) demand decline seem arresting (down approximately down 1%).Bakrishna Industries remains one of our high conviction ideas, the business is witnessing strong tailwinds.In our previous monthly note we mentioned reinforcement of demand improvement could be key trigger the stock, this latest data leads us to reiterate our positive stance on the stock.We believe Balkrishna Industries provides better risk reward vis-a-vis peers due to its standout earnings strength (expect earning per share compound annual growth rate approximately 15% FY20-22E).We factor-in 0.5%/16.5% volume growth in FY21E/FY22E..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint 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 brokerage and do not represent the views of BloombergQuint..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

ICICI Securities: Export Momentum Continues For Balkrishna Industries

ICICI Securities: Industry Export Momentum Continues For Balkrishna Industries

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