Buy Page Industries, target price Rs 21,560: Kotak Securities

Kotak Securities has given a buy rating to Page Industries with a target price of Rs 21,560. The share price moved up by 0.48 per cent from its previous close of Rs 20,846.70. The stock’s last traded price is Rs 20,945.80.

Page Industries Ltd., incorporated in the year 1994, is a Large Cap company (having a market cap of Rs 23223.09 Crore) operating in Apparels sector.

Page Industries Ltd. key Products/Revenue Segments include Innerwear & Leisurewear which contributed Rs 2893.82 Crore to Sales Value (98.24 % of Total Sales), Scrap & Others which contributed Rs 38.70 Crore to Sales Value (1.31 % of Total Sales), Other Operating Revenue which contributed Rs 12.75 Crore to Sales Value (0.43 % of Total Sales) and Duty Drawback which contributed Rs .16 Crore to Sales Value (0.00 % of Total Sales)for the year ending 31-Mar-2020.

Financials
For the quarter ended 30-06-2020, the company reported a Standalone sales of Rs 284.80 Crore, down 47.38 % from last quarter Sales of Rs 541.26 Crore and down 65.89 % from last year same quarter Sales of Rs 834.96 Crore. The Company reported net profit after tax of Rs -39.55 Crore in latest quarter.

Investment Rationale
Stock has formed strong reversal formation near important retracement level.

Promoter/FII Holdings
Promoters held 48.3 per cent stake in the company as of June 30, 2020, while FIIs held 26.2 per cent, DIIs 12.7 per cent and public and others 12.8 per cent.