HDFC Securities has sell call on with a target price of Rs 1400. The current market price of Bata India Ltd. is Rs 1891.6.
Time period given by analyst is one year when Bata India Ltd. price can reach defined target.
Bata India Ltd., incorporated in the year 1931, is a Large Cap company (having a market cap of Rs 24307.77 Crore) operating in Leather sector.
Bata India Ltd. key Products/Revenue Segments include Footwear and Other Operating Revenue for the year ending 31-Mar-2021.
Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 625.66 Crore, up 124.05 % from last quarter Total Income of Rs 279.25 Crore and up 63.65 % from last year same quarter Total Income of Rs 382.32 Crore. Company reported net profit after tax of Rs 37.19 Crore in latest quarter.
Investment Rationale
Bata gaining fair share in wholesale/online seems par for the course. That said, scaling beyond a certain level (INR9-12bn in wholesale) is tough as one needs to contend with strong international sports brands at the higher end and functional value brands at the lower end. Hence, while estimates are generous, re-rating warrants strong execution. The brokerage assigns a DCF-based TP of INR 1,400/sh (implying 38x FY24 P/E).
Promoter/FII Holdings
Promoters held 52.96 per cent stake in the company as of 30-Sep-2021, while FIIs owned 5.35 per cent, DIIs 28.01 per cent.
Time period given by analyst is one year when Bata India Ltd. price can reach defined target.
Bata India Ltd., incorporated in the year 1931, is a Large Cap company (having a market cap of Rs 24307.77 Crore) operating in Leather sector.
Bata India Ltd. key Products/Revenue Segments include Footwear and Other Operating Revenue for the year ending 31-Mar-2021.
Financials
For the quarter ended 30-09-2021, the company reported a Consolidated Total Income of Rs 625.66 Crore, up 124.05 % from last quarter Total Income of Rs 279.25 Crore and up 63.65 % from last year same quarter Total Income of Rs 382.32 Crore. Company reported net profit after tax of Rs 37.19 Crore in latest quarter.
Investment Rationale
Bata gaining fair share in wholesale/online seems par for the course. That said, scaling beyond a certain level (INR9-12bn in wholesale) is tough as one needs to contend with strong international sports brands at the higher end and functional value brands at the lower end. Hence, while estimates are generous, re-rating warrants strong execution. The brokerage assigns a DCF-based TP of INR 1,400/sh (implying 38x FY24 P/E).
Promoter/FII Holdings
Promoters held 52.96 per cent stake in the company as of 30-Sep-2021, while FIIs owned 5.35 per cent, DIIs 28.01 per cent.
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