Thursday, March 7, 2019

Hold Escorts; target of Rs 680: Geojit


Geojit's research report on Escorts


Escorts Ltd (EL) is the third largest Agricultural tractor manufacturer in India. It has a strong presence in the north and west market, with an overall market share of 11% as on FY18. Revenue for the Q3FY19 grew by 37%YoY in line with our estimates. This growth was largely led by 34%YoY in the tractor sales & 30%YoY from the construction business.


Outlook


Considering the near-term pressure on margins, we tweak our EBITDA estimate by -20bps and value EL at 15x FY20E EPS with a revised target price of Rs680 and downgrade our rating from buy to Hold.


For all recommendations report, click here


Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

Read More First Published on Mar 7, 2019 02:45 pm

No comments:

Post a Comment