Investment
PRO Only Highlights
- Quarterly performance largely backed by improved realisations
- Medium-term triggers China plus and protectionist measures for tyre industry
- Valuations not inexpensive; but improved medium-term outlook
- Quarterly performance largely backed by improved realisations
- Medium-term triggers China plus and protectionist measures for tyre industry
- Valuations not inexpensive; but improved medium-term outlook
Highlights
- Revenues rose 4 percent in FY24
- Recovery in rural sentiments could boost top line
- Margins likely to hover in the 18-20% range
- Stock has underperformed the mid- and small-cap indices
- Valuations offer high margin of safety
GM Breweries (GMB; CMP: Rs 770; Market cap: Rs 1,408 crore; Rating: Overweight), the Maharashtra-based country liquor manufacturer, reported nearly flat revenues in Q4FY24.
Although the revenue growth trends for the overall business remain lacklustre, robust business fundamentals and attractive valuations make it worthy of consideration