Buy Exide Industries, target price Rs 227: Sharekhan by BNP Paribas

Sharekhan by BNP Paribas has buy call on Exide Industries with a target price of Rs 227. The current market price of Exide Industries is Rs 207.2.

Exide Industries, incorporated in the year 1947, is a Mid Cap company (having a market cap of Rs 17607.75 Crore) operating in Auto Ancillaries sector.

Exide Industries key Products/Revenue Segments include Batteries (Storage), Export Incentives, Other Operating Revenue, Scrap for the year ending 31-Mar-2022.

Financials
For the quarter ended 31-03-2023, the company has reported a Consolidated Total Income of Rs 3712.88 Crore, up 4.23 % from last quarter Total Income of Rs 3562.16 Crore and up 4.84 % from last year same quarter Total Income of Rs 3541.44 Crore. Company has reported net profit after tax of Rs 180.71 Crore in latest quarter.

The company’s top management includes Mr.Bharat Dhirajlal Shah, Mr.R B Raheja, Mr.Subir Chakraborty, Mr.A K Mukherjee, Mr.Avik Kumar Roy, Mr.Arun Mittal, Ms.Mona N Desai, Mr.Sridhar Gorthi, Mr.Surin Kapadia. Company has BSR & Co. LLP as its auditors. As on 31-03-2023, the company has a total of 85 Crore shares outstanding.

Investment Rationale
The brokerage maintains a Buy rating on the stock with a revised PT at Rs.227 in expectation of 17.4% earning CAGR over next 2 years led by margin expansion, recovery in replacement demand and continued traction in OEM demand.

Promoter/FII Holdings
Promoters held 45.99 per cent stake in the company as of 31-Mar-2023, while FIIs owned 12.32 per cent, DIIs 18.91 per cent.