Indigo Paints Q2 Review: ICICI Securities Cuts Target Price Despite Maintaining 'Add' Rating — Here's Why

Indigo Paints reported YoY revenue growth of 4.2%, outperforming Kansai (0.1%), Berger (1.9%), and Akzo (-15%). It also achieved Ebitda margin expansion of +106bps, while Berger and Akzo saw margin contractions..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..ICICI Securities Report.Indigo Paints Ltd.’s Q2 FY26 delivered on both key parameters of market share gains as well as margin expansion. It reported revenue growth of +4.2% YoY vs Kansai Nerolac (+0.1%), Berger Paints (+1.9%) and Akzo Nobel (-15%). Indigo Paints was also able to report Ebitda margin expansion (+106bps) higher than its key peers – Kansai (+15bps), Berger (-319bps) and Akzo (-166bps). We consider this as commendable performance considering there was incessant rainfall and limited sales related to pre-Diwali. We believe there are multiple tailwinds for H2 FY26 and FY27 such as -capacity expansion of putty, water-based plant and solvent-based plant in H2 FY26,revival in demand (green shoots visible), additional efforts on distribution of Apple Chemie in South and East India coupled with brand relaunch, softening of competitive pressures andcorrection in commodity prices. Indigo has continued its investments in distribution expansion and added 358 active dealers and 355 tinting machines in Q2 FY26. Maintain Add..Click on the attachment to read the full report:.Devyani International Q2 Review: Sluggish Demand Impacts Growth, Says Dolat Capital Maintaining 'Sell'.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.

Indigo Paints Q2 Review: ICICI Securities Cuts Target Price Despite Maintaining 'Add' Rating — Here's Why

ICICI Securities has revised the target price downward, while maintaining an 'Add' stance, implying a 14% upside.

NDTV Profit

NDTV Profit

Follow Us

DISCOVER US FASTER

DOWNLOAD THE APP