Buy Action Construction Equipment; target of Rs 320: ICICI Direct

ICICI Direct's research report on Action Construction Equipment

Action Construction Equipment (ACE) is an Indian construction equipment and material handling company. ACE has eight manufacturing and one R&D site in Faridabad, Haryana The company has a capacity of 12000 construction equipment and 9000 tractors annually ACE’s product portfolio is divided into four main categories viz. agricultural equipment, construction equipment, road construction equipment and earth-moving machinery

Outlook

We continue to remain positive and retain our BUY rating on the stock We value ACE at Rs 320 i.e. 15x EV/EBIDTA (FY23E).