Anand Rathi is bullish on Birla Corporation has recommended buy rating on the stock with a target price of Rs 830 in its research report dated August 09, 2020.
Anand Rathi 's research report on Birla Corporation
Its cement and jute divisions hit by the lockdown and cyclone Amphan, Birla Corp’s revenue/EBITDA/PAT fell 35%/39%/53% y/y. Frequent local lockdowns and floods in Bihar are hurting demand. Besides the ongoing expansion, the Board approved the Durgapur expansion to address premium-slag demand in the East. We do not expect much rise in the Net D/E backed by expected profitability improvement despite leveraged B/S.
Outlook
We retain our Buy rating, and raise our target to `830 (earlier `650).
For all recommendations report, click here
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