Getty Images has buy call on Dodla Dairy with a target price of Rs 620. The current market price of Ltd. is Rs 504.15. Time period given by analyst is one year when Dodla Dairy Ltd. price can reach defined target.
Dodla Dairy Ltd., incorporated in the year 1995, is a Small Cap company (having a market cap of Rs 3004.38 Crore) operating in FMCG sector.
Dodla Dairy Ltd. key Products/Revenue Segments include Food Products, Sale of services and Scrap for the year ending 31-Mar-2022.
Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 721.40 Crore, up 21.45 % from last quarter Total Income of Rs 593.99 Crore and up 40.17 % from last year same quarter Total Income of Rs 514.65 Crore. Company reported net profit after tax of Rs 24.92 Crore in latest quarter.
Investment Rationale
The brokerage models Dodla to report revenue and PAT CAGR of 17.1% and 17.6% respectively, over FY22-24E and RoCE to be upwards of 18% in FY24E. It remains structurally positive on Dodla due to its competitive advantages and strong growth opportunity in South India. It maintains BUY rating with a revised DCF-based TP of Rs620 (implied P/E of 20x FY24E EPS). Key risks: Delay in distribution and procurement expansion, and failure of some of the new products and potentially higher competitive intensity in South India.
Promoter/FII Holdings
Promoters held 62.54 per cent stake in the company as of 30-Jun-2022, while FIIs owned 8.75 per cent, DIIs 12.39 per cent.
Dodla Dairy Ltd., incorporated in the year 1995, is a Small Cap company (having a market cap of Rs 3004.38 Crore) operating in FMCG sector.
Dodla Dairy Ltd. key Products/Revenue Segments include Food Products, Sale of services and Scrap for the year ending 31-Mar-2022.
Financials
For the quarter ended 30-06-2022, the company reported a Consolidated Total Income of Rs 721.40 Crore, up 21.45 % from last quarter Total Income of Rs 593.99 Crore and up 40.17 % from last year same quarter Total Income of Rs 514.65 Crore. Company reported net profit after tax of Rs 24.92 Crore in latest quarter.
Investment Rationale
The brokerage models Dodla to report revenue and PAT CAGR of 17.1% and 17.6% respectively, over FY22-24E and RoCE to be upwards of 18% in FY24E. It remains structurally positive on Dodla due to its competitive advantages and strong growth opportunity in South India. It maintains BUY rating with a revised DCF-based TP of Rs620 (implied P/E of 20x FY24E EPS). Key risks: Delay in distribution and procurement expansion, and failure of some of the new products and potentially higher competitive intensity in South India.
Promoter/FII Holdings
Promoters held 62.54 per cent stake in the company as of 30-Jun-2022, while FIIs owned 8.75 per cent, DIIs 12.39 per cent.
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